Agfa Graphics and Shenzhen Brothers create joint venture in Asia

Agfa Graphics and Shenzhen Brothers have signed an agreement to combine their Greater China and ASEAN activities in a joint venture. Shenzhen Brothers started the finishing and distribution activities of Agfa Graphics master roll graphic films in China in 2000.

In recent years, Agfa Graphics has made various investments in both digital pre-press and new industrial inkjet printing technology. The company has subsidiaries in the Greater China and ASEAN region and a printing plate factory in Wuxi, China.

The joint venture, named Agfa Graphics Asia, will be able to fully draw on the infrastructure, technology, manufacturing and distribution strength of its founding companies.

In its first full year of operations, the new company is expecting to achieve sales of 200 million euros. Agfa Graphics will be the majority shareholder with a stake of 51 percent. Shenzhen Brothers will own 49 percent of the company. Chairman of the board will be Stefaan Vanhooren, president of Agfa Graphics, while Mr Huang, CEO of Shenzhen Brothers, will become the CEO of the new company.

’Agfa Graphics and Shenzhen Brothers have been loyal partners for the past ten years, successfully serving the graphics industry in China,’ said Stefaan Vanhooren. ‘This joint venture is an important vehicle in achieving our ambitious growth plans in Asia for digital prepress and industrial inkjet. Shenzhen Brothers' high reputation and strong relationship with local customers, suppliers and government are a major asset to build out a strong and profitable market position.’ 

‘Technological innovation and cost leadership will be key drivers for future growth and success,’ said Mr Huang. ‘Agfa Graphics' strong technological position and know-how will allow us to increase our business in both Greater China and ASEAN markets. Its excellent manufacturing capabilities and infrastructure in China will be of great importance in realizing our targets.’

The new company will have its headquarters in Shenzhen, Guangdong, and  is expected to begin no later than the third quarter of 2010 subject to regulatory approval.  

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