Germany won’t block Midea’s takeover of robotics firm Kuka
by The Associated Press
The German government has decided not to open a formal examination into whether the proposed Kuka-Midea deal poses security or economic risks
BERLIN—The German government is making clear that it won’t obstruct the planned takeover of industrial robot maker Kuka by Chinese appliance maker Midea.
Midea’s move is part of a wave of Chinese investments overseas but it also raised misgivings among some in Germany about foreign takeovers of local companies. Midea, which has now secured some 95 per cent of Kuka’s shares, has promised that Kuka will remain independent.
The German government can open a formal examination of whether a proposed deal poses security or other risks if an investor from outside the European Union acquires 25 per cent or more of a German company. It can then forbid a deal or impose conditions.
However, Economy Ministry spokesman Andreas Audretsch said that it’s decided against such an examination.
