The Translink Corporate Finance offices from Benelux and China jointly advised Kiwa with the acquisition of BCC Inc., a leading TIC company in the Chinese market. The transaction involved a delisting of BCC from the NEEQ exchange and a completion in two stages i.e. the acquisition of the majority of the shares executed on 10th of February 2020 and the remaining shares in the years to come.
Rationale for transaction
Since 2005, Kiwa has been delivering product certification and agro-food inspections in China. By allying with BCC Inc. with more than 600 employees active in management system certification in China, Kiwa strengthens its platform in China through which various additional activities can be launched. While also obtaining the ownership of 50% in SNQA, a JV of BCC and NQA, Kiwa expands its TIC services to the automotive sector in several Asian-Pacific countries as well. Also, BCC can now develop into a full service TIC player in its home market with access to international trade, certification and CE-marking. Leveraging the complementary strengths of the three companies, Kiwa, BCC and SNQA, will allow to take advantage of new additional growth opportunities in the dynamic Asian TIC market environment and better support the challenges of worldwide trade of its customers.
Paul Hesselink, CEO of Kiwa, said: “Kiwa is already active on three continents but with a clear intention to become a prominent player in China in order to service its customers with a wide variety of TIC activities, both for the Chinese home market as well as to facilitate international trade. By the merger with BCC, we believe to make a significant step forward. Moreover, Kiwa will help BCC to expand its activities beyond system certification and become an even stronger quality player in China itself”.
Huang Quan, Chairman of BCC Inc. Said: “I’m very glad about this win-win strategic cooperation with Kiwa. BCC will further enrich its competitiveness in the certification business and enter into the lab testing field as new growing points. Meanwhile, BCC provides a solid foundation for Kiwa to expand into the China and Asia Pacific market. We also thank Translink CF for introducing such a high quality strategic partner to BCC. Even though Translink is advisor for the buy side, they acted fairly and were very experienced and managed professionally throughout the whole process.”
About the buyer, Kiwa NV
Since 2005, Kiwa has developed into an international TIC company with over 4300 employees operating from over 100 offices in 30 countries in Europe, Asia and Latin America focusing certification and testing of products, processes, systems and personnel as well as on in-service inspection of installations in industry, power generation and in real estate. Global activities include Testing, Inspection and Certification, strengthened by Training, Technology and Data Services. Kiwa is active in almost all industry sectors like water, energy, construction, agro-food, safety & security, health care, CSR and management systems. The head office is based in Rijswijk, The Netherlands http://www.kiwa.com/en/.
About the Seller, BCC Inc.
The controlling stake in BCC Inc., listed at NEEQ until August 2019, is sold by Beijing Shiji Tiantai Investment Co. Headquartered in Beijing, with 6 subsidiaries and more than 600 employees, BCC Inc. has presence in 18 provinces in mainland China and serves more than 10,000 customers. BCC Inc. also holds a 50% stake in a joint venture with NQA called SNQA active in the China and Asia-pacific region.
Contact our Key Team Members leading this transaction:
Antoine Moser, Partner, Translink Benelux: email@example.com
Rebecca Zhu, Director, Translink China: firstname.lastname@example.org