The privately-owned electrical group Glen Dimplex has extended its operations to the Far East through a manufacturing joint venture with two Chinese companies. Glen Dimplex has also bought a minority stake in a Norwegian manufacturer of electric heaters.
As is its custom, Glen Dimplex did not reveal the financial details of either transaction.
In China, a new company, Shenyang Dimplex Electronics, has been established to build a factory in Shenyang in Liaoning province to manufacture night storage heaters for sale in China, North Korea and the Asian countries of the former Soviet Union.
Glen Dimplex's partners are a subsidiary of the Liaoning Province Electric Supply Company and Shenyang Huali Energy Equipment, a major supplier of electrical switchgear to the Chinese electricity industry.
In addition to making an undisclosed financial investment in the joint venture, Glen Dimplex will licence its technology for the manufacture of night storage heaters and its "Dimplex" brand to the joint venture company.
Glen Dimplex chief executive Mr Sean O'Driscoll said: "This is a very significant development for the group and we are delighted to have companies of the stature of Shenyang Huali and Liaoning Electric Power as our partners."
Mr O'Driscoll said that China had a large surplus of electricity at night time and a very cold winter climate. "With the recent introduction of low-rate night electricity prices for domestic users in China, we see significant potential for night storage heaters in this vast and rapidly developing market."
The second deal sees Glen Dimplex buy a 25 per cent stake in the Norwegian company NOBO Electro. NOBO has a turnover of €35 million, employs 200 people and is the market leader in electric heating products in the Scandinavian market.
Last week, Glen Dimplex spent a reported €60 million on two electrical distribution companies in the Republic and Northern Ireland owned by Drogheda businessman Mr Brendan McDonald.
