Beijing, China, 5 April 2016 – Barco, a global leader in visualization solutions, and China Electronic Corporation (CEC) Panda, a major Chinese provider of technology products and IT solutions, proudly announce the establishment of a joint venture to better address the Chinese control rooms market. This agreement will prove beneficial for both parties: it will give CEC-Panda the opportunity to benefit from Barco’s established and front-running product portfolio and its brand name; for Barco, the joint venture − Barco China Electronic Corporation (Nanjing) Visualization System Co., Ltd − will provide direct access to the Chinese market, serving its ‘China for China’ strategy.
In the spirit of friendship and enhanced trust between China and Belgium, Barco and CEC-Panda agreed to establish a joint venture to target the Chinese control room market even more effectively. This agreement was completed during a signing ceremony at Nanjing on 31 March.
On the occasion of the ‘shake hands ceremony’, Eric Van Zele, CEO of Barco, commented: “Establishing this joint venture with CEC-Panda, and integrating the strong aspects of the two companies, will prove beneficial for both parties. We see a major potential for tiled LCD solutions in China, and CEC – a leading supplier of LCD products and IT solutions, and an important system integrator to the Chinese and global market – is the perfect partner for us to achieve our goals. Together, we have exactly what it takes to be the #1 control room solutions supplier in China.”
“Barco is a well-established name in China, renowned for its high quality and innovative control room solutions,” Lai Weide, Vice President of CEC added. “With our combined strengths, Barco CEC Panda JV will achieve a leading position in the Chinese control rooms market. We are very eager to take up this challenge.”
Complementing the ‘Made in China 2025’ initiative
This agreement not only aligns with Barco’s ‘China for China’ strategy – allowing the company to fully localize its product portfolio and strengthen its commitment to China – but it also fits perfectly with the Chinese government’s ‘Made in China 2025’ initiative. Barco wants to contribute to the establishment of the great infrastructure China is building to continue to make their industry more efficient and integrated.
Combining Barco technology with CEC-Panda’s implementation skills and roads to market
Today, China already represents 50% of the worldwide Total Addressable Market (TAM) for large video walls – both LCD and rear-projection – and so the country is key to establishing a global leadership position in the control rooms market.
The activities of the joint venture will include developing, manufacturing, marketing, selling and servicing Barco and CEC-Panda branded control room products for the Chinese market. This not only comprises the traditional LCD and rear-projection video walls, but also Barco’s recently introduced operator workspace solution − Barco OpSpace − which revolutionizes the way critical infrastructure is managed. As a leading IT solutions provider, with expertise in network infrastructure, CEC-Panda is the perfect partner for implementing OpSpace in the Chinese market.
With the setup of the joint venture structure and the implementation of the operational plan, 2016 will be a transition year for Barco CEC Panda JV. Sales are expected to build gradually as of 2017.
Barco owns 65% of the joint venture, while CEC-Panda Home Appliance owns 35%.
The new venture will be incorporated in Nanjing (Panda headquarters), headquartered in Shenzhen (Home Appliance headquarters), with the Sales office headquartered in Beijing (Barco China headquarters).
Barco, a global technology company, designs and develops networked visualization products for the Entertainment, Enterprise and Healthcare markets. Barco has its own facilities for Sales & Marketing, Customer Support, R&D and Manufacturing in Europe, North America and APAC. Barco (NYSE Euronext Brussels: BAR) is active in more than 90 countries with 3,300 employees worldwide. Barco posted sales of 1.029 billion euro in 2015.
For more information, please visit the company’s website at www.barco.com
Based in Nanjing, China, Nanjing CEC-Panda LCD Technology Co., Ltd. is a subsidiary of China Electronics Corporation (CEC), the largest state-owned IT enterprise in China. CEC-Panda is engaged in research and development, manufacture and sales of telecommunications equipment, computers and electronic equipment, as well as provision of technical services. The company possesses solid research and development capabilities and owns three state-level engineering technology development centers.
© Copyright 2016 by Barco