ZHEJIANG, China, Nov. 11 /PRNewswire-Asia-FirstCall/ -- SORL Auto Parts, Inc. (Nasdaq: SORL) ("SORL" or "The Company"), a leading manufacturer and distributor of commercial vehicle air brake systems as well as related auto parts in China, announced today that it has entered into a joint venture agreement with MGR, a Hong Kong-based global auto parts distribution specialist firm. The new joint venture will be named SORL International Holding, Ltd. ("SIH"). SORL holds a 60% interest in the joint venture.
SIH will be primarily devoted to expanding SORL's international sales network in Asia-Pacific and creating a larger footprint in Europe, the Middle East and Africa with a target to create a truly global distribution network. This joint venture will complement the Company's current international sales centers in Australia, United Arab Emirates, India, and the United States.
Based in Hong Kong, SIH will open up and establish channels of distribution in international markets with SORL's primary products, including spring brake chambers, clutch servos, air dryers, relay valves and hand brake valves. This joint venture will seek to expand SORL's parts business by developing business solutions that best meet international customers' needs, especially in the high-growth auto markets of Asia-Pacific, Europe, the Middle East and Africa.
Through the joint venture, SORL aims to further extend its operations outside China by leveraging MGR's intimate knowledge of its customers and to gain access to MGR's worldwide customer network including opinion leaders, distributors, workshops and fleets. By deploying MGR's "Six Sigma" management practices, SORL will improve its manufacturing processes, product quality, efficiencies and integrate greater technological innovation into its product line.
The new Joint Venture will be led by an experienced management team including Mr. Jean Francois Barth, Mr. Hamid Hamri and Mr. Craig Jackson:
Jean Francois Barth, a French national, will serve as the Managing Director of SIH. From 2001 to 2008, Mr. Barth was the Global Vice President and General Manager for the Worldwide Aftermarket Business Unit, accountable for marketing, sales, product development, supply chain, HR and P&L at WABCO Holdings (NYSE: WBC, or "WABCO"), an automotive brake technology leader and tier-one supplier to the global commercial vehicle industry. During his tenure at WABCO, he successfully accelerated its worldwide aftermarket sales growth (parts & services) with improved margin and profits. He created, developed and led the Global Business Unit and Worldwide Aftermarket organization including 320 employees and a global service network of 2,000 distribution partners, over 400 service centers and Original Equipment Service (OES) partners.
Hamid Hamri, a native Moroccan, will serve as Sales and Marketing Director, Middle East & Africa, of SIH. Before joining SIH, from 2002 to 2009, Mr. Hamri worked at WABCO, where he held the positions of Business Development, Director of Aftermarket Middle-East and Africa, and Director for Aftermarket and OEM Middle East and Africa. In his seven years with WABCO, Mr. Hamri led the effort in setting up the WABCO Middle-East and Africa Division in Dubai, and a dynamic and successful distribution network for WABCO across the region. Hamid was a member of WABCO's Global Leadership team and WABCO's Global Strategy team. Prior to WABCO, Mr. Hamri spent 9 years with Tenneco Monroe & Walker (NYSE: TEN), where he held several Sales and Marketing positions responsible for both Aftermarket and OEM sales.
Craig Jackson, a native Australian, will serve as Sales and Marketing Director at SIH, Asia Pacific. Mr. Jackson was with WABCO from 2001 to 2008, where he held the position of Director of Aftermarket Asia Pacific. During his tenure with WABCO, Mr. Jackson created the Aftermarket Parts and Service distribution network for WABCO across Asia Pacific. He was a member of WABCO's Asia Pacific Leadership team and also WABCO's Global Aftermarket Leadership team. Prior to WABCO, he spent almost 8 years with ZF Australia and assisted in the establishment of ZF's Hong Kong office in 1999.
"We are very excited about the joint venture we are forming with MGR and the wealth of experience and proven records both management teams bring to this partnership," said Xiaoping Zhang, SORL Auto Parts' Chairman and CEO. "The SIH partnership reflects a powerful combination of SORL's technological leadership and market resources in China's market with the immense worldwide customer network and deep customer understanding that MGR has achieved.
"We believe this new joint venture provides us with an ideal opportunity to enhance SORL's growth in regions which we believe will be our key growth markets in the future. This partnership paves the way for SORL to achieve our long-term vision of becoming a leading global supplier of air brake systems and other related auto parts for OEMs and aftermarket customers," concluded Mr. Zhang.
About SORL Auto Parts, Inc.
As China's leading manufacturer and distributor of automotive air brake systems and other related auto parts, SORL Auto Parts, Inc. ranks first in market share in the segment for commercial vehicles weighing more than three tons, such as trucks and buses. The Company distributes products both within China and internationally under the SORL trademark. SORL ranks among the top 100 auto component suppliers in China, with a product range that includes 40 types of air brake valves and over 1000 different specifications. The Company has four authorized international sales centers in Australia, United Arab Emirates, India, and the United States, with additional offices slated to open in other locations in the near future. For more information, please visit http://www.sorl.cn .
About MGR
Based in Hong Kong, MGR is a team of automotive professionals sharing intimate knowledge of customers in Asia Pacific, Europe, the Middle East and Africa regions and their respective automotive parts needs. MGR brings access to a worldwide customer network including opinion leaders, distributors, workshops and fleets. MGR has Six Sigma certification and hence brings to the partnership new ways to improve product quality and efficiency.
Safe Harbor Statement
This press release may include certain statements that are not descriptions of historical facts, but are forward-looking statements.
Forward-looking statements can be identified by the use of forward-looking terminology such as "will", "believes", "expects" or similar expressions. These forward-looking statements may also include statements about our proposed discussions related to our business or growth strategy, which is subject to change. Such information is based upon expectations of our management that were reasonable when made but may prove to be incorrect. All of such assumptions are inherently subject to uncertainties and contingencies beyond our control and upon assumptions with respect to future business decisions, which are subject to change. We do not undertake to update the forward-looking statements contained in this press release. For a description of the risks and uncertainties that may cause actual results to differ from the forward-looking statements contained in this press release, see our most recent Annual Report filed with the Securities and Exchange Commission (SEC) on Form 10-K, and our subsequent SEC filings. Copies of filings made with the SEC are available through the SEC's electronic data gathering analysis retrieval system (EDGAR) at http://www.sec.gov .
For more information, please contact:
At SORL Auto Parts, Inc.
Ben Chen
Director of Investor Relations
Tel: +86-577-6581-7721
Email: ben@sorl.com.cn
Kevin Theiss
Grayling
Tel: +1-646-284-9409
Email: kevin.theiss@us.grayling.com
