Chinese cable maker Shenzhen Woer buys Asian assets from Belden

Shenzhen Woer Heat-Shrinkable Material Co. Ltd., which makes a range of plastic wire and cable products and claims to be the largest maker of such heat-shrinkable materials in China, is paying US$43.3 million (269.7 million Chinese yuan) to buy the Asian consumer electronics assets of American cable maker Belden Inc.

The acquisition of Belden's Hong Kong-based LTK International subsidiary will give Shenzhen Woer substantial additional manufacturing capacity in China. It is also designed, company officials said, to expand its presence in the electronics industry and speed development of environmentally oriented cross-linked materials.

Woer, which was founded in 1998 and is based in Shenzhen, makes cross-linked polyethylene wires, heat shrinkable tubing and materials, polytetrafluoroethylene tubing and EPDM elastomer tubing, among 2,500 products.

The company is publicly-traded on the Shenzhen Stock Exchange and says it specializes in the manufacture and R&D of cross-linked materials.

"Through this acquisition, Woer aims not only to develop its electronics business but also give LTK the ability to share and capitalize on the resources of both Woer and LTK," LTK said in a January letter to customers. "This strategic alliance will allow both parties to stay ahead of their competitors and offer new attention-getting and leading products in electronic cable as well as environmentally-friendly cross-linked materials."