A press event was held in New York with the participation of Dr. Lan Lin, Chairman of Hisense International Ltd. During the meeting, Dr. Lin reviewed the long term strategy of the company and announced two major deals of Hisense, the acquisition of Toshiba’s TV business and that of Gorenje, maker of home appliances.
Internationally, Hisense is growing steadily at an average annual rate of about 25%.
In 2017, international sales accounted for $4.2 billion, with 50% of all products sold by the company under the Hisense brand. Company owns big production sites in South Africa, Mexico and Czechia.
According to Dr. Lan Lin, Hisense’s long term strategy is to focus on organic growth and new acquisitions in various market segments. Earlier this year, the company bought Toshiba’s television business. With this acquisition, Hisense hopes to boost its TV sets sales by 4-5 million over the next three years.
The acquisition of European appliance manufacturer Gorenje is in its final stage. Hisense bought back 95.4 percent of its shares. Deal is almost done, awaiting approval from antitrust agency.
We expect a significant increase in growth rate due to the merger of Gorenje and Hisense. Gorenje is a successful and well-known company with a turnover of 1.4 billion dollars. Our combination will double our combined market share in the next 3 years
, – Dr. Lin commented.
Among other benefits of the Gorenje acquisition, Dr. Lin cited Hisense’s extensive R&D support. Gorenje’s products will be marketed under both own brand and Hisense brand. The division is due to product categories. In particular, kitchen appliances, where Gorenje has a strong position in ovens and dishwashers, will retain the original brand.
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