Haier Close To Closing US$5.4B GE Appliance Deal
Haier the Chinese Company that aquired Fisher and Paykel could soon be launching GE appliances in Australia after the Companies US$5.4 billion purchase of GE’s appliance business was given the green light by the U.S. Department of Justice.
Haier is now one step toward closing the transaction, which could be completed by August pending Haier shareholder approval and other possible regulatory reviews.
The earliest that GE product could be sold in Australia is late 2017.
The bid followed a failed $3.3 billion buyout attempt by Sweden’s Electrolux, which faced stiff resistance from regulators fearful of a commercial cooking monopoly. However, Haier’s smaller U.S. presence should make market-share concentration a non-issue this go-around.
GE has been looking to shed its appliance unit for nearly a decade, as chairman/CEO Jeff Immelt turned his attention to the conglomerate’s core industrial divisions.