Taiwan’s leading golf equipment manufacturer Fusheng Applied Materials (6670) announced plans to acquire a 51% stake in hand tool maker Bondhus for NT$1.48 billion ($46.4 million), marking its entry into the hand tools industry.
The NT$157 per share offer represents a slight discount of 0.06% to Bondhus’s last closing price of NT$158. Trading in both companies was suspended following the announcement.
The acquisition aims to create a “Taiwan hand tool fleet” that can better compete internationally through resource integration. Fusheng CFO Ting-Yi Hsu indicated that while Bondhus will undergo board restructuring with Fusheng taking majority control, the existing management team will largely remain in place.
Fusheng reported strong 2023 financial results with revenue of NT$28.37 billion ($890 million), up 16% year-on-year, and net profit of NT$3.8 billion ($119 million), a 57.9% increase. The company declared a cash dividend of NT$19.7 per share, representing a yield of approximately 6.2%.
Bondhus, established over 40 years ago with annual revenue of around NT$900 million ($28.2 million), is Asia’s largest manufacturer of industrial-grade adjustable wrenches and ranks among the top three globally. Its products serve mechanical, infrastructure, automotive and aerospace industries.
Taiwan’s hand tool industry, valued at over NT$100 billion annually, faces increasing competition from Chinese manufacturers and geopolitical challenges.
