BIgger things on the horizon for Denver company acquired by Chinese manufacturer?
A small Denver company owned by the former chief operating officer of Husqvarna has been acquired by a Chinese firm and bigger things may be in the works.
Denver Global Products President Roger Leon and company executives are tight-lipped about what may come next, but the deal with Chongqing RATO Power Co. Ltd., was finalized on Jan. 1 in a deal that was valued at more than $70 million.
The Charlotte Business Journal reported in November that Denver Global was “quietly looking” for a huge facility in the area for the manufacture and distribution of its products.
Leon said that the company is not ready to make an announcement about that, but said that Lincoln County is at the top of its list of prospective manufacturing sites.
Denver Global has fewer than 20 employees in its office at 405 North Pilot Knob Road. A company spokesman said that Denver Global “provides innovative solutions to several industries including outdoor power equipment.”
In addition to Leon, who lives in Denver, Denver Global has a number of employees who used to work for Husqvarna. The company was incorporated in 2010, and has a number of engineers on-site. It also sells power equipment including such items as chainsaws and generators online through www. DenverPower.net.
Leon will assume the role of vice chairman of the board of Chongqing RATO, and will continue to oversee Denver Global as well as the operations of RATO Power. Denver Global will continue to operate as a wholly owned subsidiary of RATO Power. Leon was in China last week working on details of the company’s plans for the future.
Leon said that he and RATO’s president became acquainted several years ago, and the deal to sell Denver Global came about very quickly near the end of 2011.
The Chinese company manufactures general-purpose engines and all-terrain vehicles and motorcycles in China, and sells engines, generators, water pumps and all-terrain vehicles in the United States and Canada.
RATO President Mr. Zhu Liedong announced in 2010 that it was the “opening year of the three rapid-developing years for RATO.”
RATO has an international research and development team of more than 300 engineers, and was founded in 2007.