paragon AG: paragon starts joint venture in China

DGAP-News: paragon AG / Key word(s): Joint Venture/Strategic Company
Decision

02.09.2014 / 16:57

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paragon starts joint venture in China

Framework agreement with Jiangsu Riying Electronics Co., Ltd. 
Joint venture for car electronics and sensors production and distribution 

Delbrück, September 2, 2014 - paragon AG, which has already operated a
sales office in Shanghai via paragon Automotive Technology for more than
two years now, is boosting its presence in China. paragon today signed a
joint venture framework agreement with Jiangsu Riying Electronics Co., Ltd.
headquartered in Changzhou City, Jiangsu/China (R&Y). The purpose of the
joint venture is the production and distribution in China of certain
electronic and electro-mechanic devices for use in automobiles, especially
air quality sensors and other systems to enhance in-car air quality, as
well as instruments and their respective components.

R&Y is a well-known Chinese developer, manufacturer and distributor of
electronic solutions for the automotive and motorcycle industry, including
sensors, automotive washer systems, electronic control systems, connectors,
wiring harness systems and injection molded plastic parts.
  
To this end, paragon Automotive Technology in Shanghai will be converted
into a joint venture in which R&Y and paragon will in future hold 35% and
65% stakes respectively. A branch will be developed as a production
location in Changzhou, while the premises in Shanghai will focus on
administration, application and sales. The establishment of the joint
venture is subject to regulatory approval in China.

Comments Klaus Dieter Frers, CEO of paragon AG: "By making this move, we
are pressing further ahead with our internationalization strategy. This
joint venture will significantly boost our activities in China, the world's
fastest-growing market. We expect to launch production on location before
in 2015 and already anticipate the first order for the new company in the
near future."

Comments Shi Rongzhu, CEO of R&Y: "paragon is our partner of choice for a
joint venture - that soon became clear in our first talks. With their
competencies and track records, the two companies optimally complement each
other when it comes to offering solutions to the automotive industry."


Company profile
Listed in the regulated market (Prime Standard) of Deutsche Börse AG in
Frankfurt am Main, paragon AG develops, produces, and sells advanced
automotive electronics solutions. The portfolio of this direct supplier to
the automotive industry includes products in the following business
segments: sensors, acoustics, cockpit, electromobility, and body
kinematics. Headquartered in Delbrück (North Rhine-Westphalia), paragon has
branches in Suhl (Thuringia), Nuremberg (Bavaria), and St. Georgen
(Baden-Württemberg), a sales office in Shanghai (China), and a subsidiary
in Austin (Texas, USA).


Contact

paragon AG
Schwalbenweg 29
33129 Delbrück
Germany
phone:  +49 (0) 52 50 - 97 62-0
fax:  +49 (0) 52 50 - 97 62-60
website: www.paragon.ag
e-mail:  info@paragon.ag


Press contact & Investor relations contact
Instinctif Partners
Michael Müller
phone:  +49 (0) 221/42075-0
e-mail: Michael.mueller@instinctif.com



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Language:    English                                               
Company:     paragon AG                                            
             Schwalbenweg 29                                       
             33129 Delbrück                                        
             Germany                                               
Phone:       +49 (0)5250 97 62 - 0                                 
Fax:         +49 (0)5250 97 62 - 60                                
E-mail:      investor@paragon.ag                                   
Internet:    www.paragon.ag                                        
ISIN:        DE0005558696, DE000A1TND93                            
WKN:         555869, A1TND9                                        
Listed:      Regulierter Markt in Frankfurt (Prime Standard);      
             Freiverkehr in Berlin, Düsseldorf, Hamburg, München,  
             Stuttgart                                             
 
 
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