Heuking Kühn Lüer Wojtek advised PA Power Automation AG on the entry of a new strategic investor as part of a capital increase.
By way of a cash capital increase in exclusion of the subscription right, Taiwanese control systems producer Techmation Co. Ltd., Taipei, will subscribe 1,278,469 new shares of PA Power Automation AG at the nominal value of about EUR 2.56 per share in through its Luxemburg-based subsidiary Tech Euro S.à.r.l. With a stake of 19.88%, Tech Euro S.à.r.l. is set to become the largest individual shareholder in PA Power Automation AG. The parties signed a corresponding investment agreement.
The new shares are to be included in the existing listing in the Open Market (Entry Standard) on the Frankfurt Stock Exchange. The proceeds from the capital increase of some EUR 3.3 million are available as growth funds for research and development and for sales and marketing activities.
Techmation Co. Ltd. is part of Shanghai-listed Ningbo Techmation Co. Ltd. (603015: SHH) with corporate revenue of about RMB 387 million (about EUR 52 million) in 2015 and current market capitalization of about RMB 4.8 billion (about EUR 647 million).
Counsel to PA Power Automation AG
Heuking Kühn Lüer Wojtek:
Jens-Hendrik Janzen (Lead),
Sonja Bayer (Stocks and Capital Markets),
Sarah Dupont (Capital Markets), all Stuttgart