Midea to take Kuka off the stock exchange
Five years after taking over the Augsburg robot manufacturer Kuka, the Chinese investor Midea wants to take the German company off the stock exchange. A so-called squeeze-out process has been initiated, Kuka says.
The Midea Group holds more than 95% of the shares in Kuka through various subsidiaries. Via a letter, Midea has formally requested Kuka's general meeting to pass a resolution to transfer the shares of all remaining shareholders (minority shareholders) to its subsidiary Guangdong Midea Electric Co., Ltd. against payment of what the company calls "an appropriate cash compensation". In the same announcement Midea commits to support Kuka in pursuing its joint long-term growth plan and, in particular, that at least until end of 2025, the production site and R&D center shall remain in Augsburg, with the annual R&D budget being increased by at least 15% by 2025 compared to 2021. Given that Midea fully supports Kuka's long-term growth plan, the Management Board and the Supervisory Board, have decided that a public listing is no longer required for Kuka, as the company already stopped obtaining refinancing via the capital market following the takeover by Midea in 2016.