Year 2019 concluded on a great note for Jack Sewing Machine Co., Ltd. – a leading China-based sewing technology provider. The sewing technology giant announced in December to establish a subsidiary in collaboration with Shanghai Ouluote Industrial Co., Ltd. and this JV is named – Zhejiang Yikeda Intelligent Technology Co., Ltd.
Yikeda will complete Jack’s portfolio by adding hanger technology to improve the complete set of apparel manufacturing solutions. Production of Yikeda hanging system has already been started in Jack’s factory located in Taizhou in Zhejiang province.
The registered capital of Yikeda is RMB 55 million and Jack is now accounted for 70 per cent of the registered capital in Yikeda, which values at RMB 38.5 million, while Ouluote accounts for remaining 30 per cent, which is RMB 16.5 million.
The main business of Yikeda is R&D, production, sales and technical services of smart hanging devices. The company has plans to enter into post-sewing process as well in the future.
It’s worth mentioning here that Jack is one of those global companies which has complete clothing solutions in its basket. The integration of various technologies such as cutting system in post-production process, automated machines for sewing process and IoT device to monitor factory’s performance is what Jack holds strength in.
The acquisitions have been a part of Jack’s strategy since 2009 when it first acquired German cutting technology company Bullmer Jack and set footprints for others to follow in terms of overseas mergers and acquisitions of private enterprises in the Chinese sewing industry.
“Ever since Bullmer has become a part of Jack Group, the annual sales of Bullmer have steered from RMB 40 million in 2009 to RMB 500 million in 2018,” states a press release shared by Jack with Team Apparel Resources.
After 8 years of Bullmer’s acquisition, Jack bought Italian shirt automation company MAICA in 2017 and another Italian juggernaut in jeans automation VIBEMAC in 2018. The recent decision of forming a Joint Venture with Ouluote will help Jack establish Yikeda on lines of its Internet of Things (IoT) concept which is a key focus of the company under its ‘intelligent manufacturing’ theme.