Chart has acquired the wholly owned subsidiary of CEM International (Asia), the Changzhou CEM Cryo Equipment Company Ltd.
CEM is a cryogenic trailer supplier serving the major international gas producers and local customers. CEM also exports cryogenic industrial gas and LNG equipment to Australia and New Zealand. Both CEM and Chart have manufacturing facilities located in Changzhou, 160 km west of Shanghai, near the Yangtze river.
Commenting on the acquisition Eric Rottier, President of Chart Asia Inc. said:
“The CEM Cryo acquisition significantly expands Chart's position in China. CEM's products and customers align very well with Chart's business. Both companies focus on the major industrial gas producers and distributors.
Chart supplies bulk tanks, vaporizers, vacuum insulated pipe and portable liquid cylinders while CEM Cryo manufactures bulk tanks and trailers. Chart has operations in Changzhou and Zhangjiagang and we are investing in construction of a new cryogenic equipment manufacturing facility in Changzhou as previously announced in January at our groundbreaking ceremony.
This investment will provide a consolidation platform for the Chart China entities and CEM Cryo in late 2005. We plan to add numerous product lines and establish Changzhou as our lead supply facility for Asia. I am excited about the opportunities with this acquisition and look forward to working with our customers, the employees of CEM Cryo, and CEM International.\\$quot;
CEM International will become Chart Asia’s sale agent and distributor for Distribution and Storage products in Australia and New Zealand.