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16 September 2005

Hisense in Kelon take-away

HISENSE Air Conditioner Co has bid $111m for the 262 million shares owned by Greencool in fellow Chinese manufacturer, the troubled, Kelon. Guangdong Greencool is Kelon's largest shareholder with a 26.43% stake.
Last month, Kelon's chairman Gu Chujun, and four other Kelon executives were detained by Chinesauthorities on suspicion of committing 'economic crimes'. Kelon subsequently fired Mr Gu whom securities regulators said they suspected of overstating the company's profit since 2002. Gu owns 60% of Guangdong Greencool.
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