Stihl acquires shares of Greenworks’ parent company

June 1, 2016 -  By

Stihl acquired a minority share of the Globe Tools Group, a manufacturer of corded and cordless outdoor power tools under the Greenworks brand. Terms of the deal and the size of the stake purchased were not disclosed.

The two companies complement each other in the cordless and corded electric power tools markets and intend to create a cooperative partnership and achieve gains in efficiency, according to a Stihl news release.

“Our stake in Globe Tools means we are systematically consolidating our strategy in the growing market for cordless power tools,” said Bertram Kandziora, Stihl executive board chairman. “We will utilize synergy effects in the development and production of cordless products.”

The Globe Tools Group is based in Hong Kong and has a U.S. headquarters in Mooresville, N.C. It produces 8 million cordless and corded electrical products per year and brought in $325 million last year, according to Stihl.

“We are pleased that we will have Stihl on board in the future as a strong and reliable partner,” said Yin Chen, managing owner of the Globe Tools Group. “This involvement is a milestone in our growth story.”

The companies await approval from regulatory authorities in several countries.

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