Chinese textile companies will invest in Taiwan-funded Jiangsu textile enterprises

On February 17, Tex-Ray Industrial Co., Ltd., a Taiwanese textile company, said that China Jiangsu Yueda Textile Group Co., Ltd. decided to acquire shares of Taiwan-funded enterprises in Jiangsu Province.

Nanwei Industrial Co., Ltd. said Yueda will acquire a 40% stake in its mainland subsidiary through a fundraising plan, and its paid-up capital will increase to 30 million US dollars.

After the investment, Nanwei Industrial Co., Ltd. will retain 60% of its Jiangsu company, which was established in 2009.

The Jiangsu Taiwanese-owned subsidiary is building a new production facility. The dyeing production line is expected to be put into operation in April and the knitting production line is scheduled to start production in September.

Nanwei Industrial Co., Ltd. said that Yueda’s acquisition is expected to benefit Taiwanese companies, especially as Taiwanese companies are currently working hard to establish a sales network in the mainland.

Nanwei Industrial Co., Ltd. said that Yuda currently has 140 sales outlets in central China. Yuda's distribution base is expected to increase the visibility of Taiwanese companies in China.