Posted on 7-Jun-2005 23:09
Filed under: News
The Taiwan-based BenQ Group, which also produces mobile phones in addition to other consumer electronic products like digital cameras, scanners and LCD screens, will acquire Siemens’ entire mobile phone business with more than 6,000 employees worldwide. The business will be headquartered in Munich.
Effective 1 October 2005, BenQ will acquire Siemens' entire mobile devices business including all assets and liabilities of the business. Under the agreement, Siemens will become a shareholder in BenQ Corporation by purchasing €50 million in newly issued BenQ shares and providing funds totaling approximately €250 million to support the future of the business. Additionally, BenQ will serve as Siemens' preferred partner for end-to-end mobile communication solutions.
As part of the transaction, BenQ Corporation will gain the exclusive right to use the Siemens trademark for mobile phones for a period of 18 months from closing and co-branding rights to BenQ-Siemens for a period of 5 years from closing.
On its Asian home market, BenQ already numbers among the fastest-growing vendors in the mobile phones segment. The partnership with Siemens will enable BenQ to implement an ambitious plans for international expansion, since Siemens offers BenQ a globally operating organization. Through the acquisition, BenQ will also obtain a world-famous brand name, mobile telephony technology and software competence, as well as global access to Siemens’ broad customer base.
BenQ will be acquiring all of Siemens’ development and manufacturing locations in Manaus (Brazil) and Kamp-Lintfort (Germany), along with headquarters functions as well as the sales and marketing organization.