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Illustration 60886103 / Kheng Ho To / Dreamstime
Illustration 60886103 Kheng Ho To / Dreamstime
60886103 / Kheng Ho To / Dreamstime

Sonepar Boosts Footprint in Asia Oil & Gas Markets with Acquisitions and Joint Venture

Jan. 9, 2015

Four companies have recently joined Sonepar in Asia, adding €23 million in sales (approximately US $27 million) and 67 associates to the Paris-based electrical distributor’s Asian footprint. Sonepar said the moves reinforce its position in the Hong Kong and Macau markets and boost its oil & gas presence throughout Southeast Asia.

In Hong Kong and Macau, HipTung Cables and Min Kwong Electric join Sonepar affiliate Supermoon. Supermoon has entered partnership with HipTung Cables, a specialized power cables distributor operating in Hong Kong and Macau with sales of more than €11 million in 2013 (approximately US $13 million).

Supermoon also added Min Kwong Electric, which Sonepar described as one of the oldest local electrical wholesalers in Hong Kong, with sales of €3 million in 2013.

In Singapore and Thailand, Sonepar’s Oakwell business unit, a Singapore-based distributor it acquired in 2013, added to its offerings in the oil & gas market with the acquisition of Dilon and the formation of a new joint venture named ETS-Oakwell.

Dilon joined Oakwell in Singapore, effective December 31, 2014. Dilon is a Singaporean specialized distributor of fasteners and machined components for the oil & gas and marine industries, with annual sales of €3 million.

In Thailand, Oakwell formed a joint venture with ETS Engineering and ETS Provider to create ETS-Oakwell, a new company based in Bangkok. With sales of over €6 million, ETS-Oakwell officially joined Oakwell on December 29, 2014, Sonepar said in a release.

These acquisitions follow on other moves by Sonepar to expand its presence in  the Asian and Pacific markets. In November, Sonepar announced another Singapore acquisition, of HoST Pte Ltd., an electrical and industrial distributor said to be the oldest Rockwell Automation distributor outside North America, with annual sales of €15 million.

In June 2014, Sonepar added Electrical Distributors of Western Australia to its Sonepar Asia-Pacific operations. This brought in 14 locations across Western Australia, primarily around Perth.

And in May 2014, Sonepar added Interstate M&E, a distributor of electrical and mechanical products in Malaysia, serving primarily  the oil and gas, power, and petrochemical industries, and Interstate Solutions, focused on security and access control. The two have a combined workforce of 57 and annual sales totaling €20 million.

By latest count, Sonepar now employs more than 36,000 associates in over 190 business units operating 2,300 locations in 41 countries. The company posted sales of €16.3 billion in 2013.