Husqvarna AB signed an agreement to buy the outdoor products unit of Taiwanese company Jenn Feng Co Ltd for around US$100 million. Jenn Feng is a producer of chainsaws and trimmers for the consumer market, and also makes lawn mowers, high-pressure washers, and generators.
In 2007, the Jenn Feng's outdoor products unit generated sales of about US$120 million, half of which was in Europe. Chainsaws accounted for 50% of sales. The company has about 1250 employees, and production is based mainly in China.
The deal is expected to complete in the second quarter, subject to regulatory and Jenn Feng shareholder approval.