Chinese firm Midea makes takeover offer for robotics specialist Kuka

Chinese appliance maker Midea has made a US$5.2 billion takeover offer for German industrial robot maker Kuka, an Associated Press news story is saying.

Chinese company Midea already owns 10 per cent of Kuka, and is now offering to buy all the remaining shares. Indirect holdings of Kuka stock bring its current total ownership to 13.5 per cent, the Associated Press says.

Midea, which is based in southern China’s Guangdong province, said the acquisition would also help it develop new smart home devices and service robots, product markets that are expected to see strong growth as demand rises from China’s swelling middle class consumers.

Kuka AG is based in Augsburg, Germany, and says it has annual revenues of about 3 billion euros and employs 12,300 people globally. The company’s Canadian operation, Kuka Robotics Canada Ltd., is headquartered in Mississauga, Ont.