November 16 -- GD Midea Holding (000527.SZ) obtained approval from the National Development and Reform Commission for the acquisition of a 51 percent stake in Carrier’s air-conditioning businesses in Latin America for $223 million, reports yicai.com, citing a company filing.

According to company chairman Fang Hongbo, the acquisition is the company's second overseas investment after it acquired a stake in Egypt's Miraco in 2010, and will enable the company to sell its products in Argentina, Brazil and Chile.

Hu Yali, chief analyst at CITIC Securities (600030.SH), said there is a strong demand for home appliances in the Latin American region.

With trade barriers in Brazil and Argentina, the two main markets, it is only through the establishment of local production bases that Midea can ensure the steady development of its business in the region, said Hu.

Source:CapitalVue