(NBD) Aug. 29 -- Chinese consumer appliances company Midea Group announced Monday that the company received a loan of 3.7 billion Euros (about 4.35 billion U.S. dollars) from a bank consortium to replace its bridge loan used to purchase German robot maker Kuka.

In last year's deal, Midea Group secured 94.55% of Kuka's shares with a consideration of 3.7 billion Euros which was paid with a bridge loan. A Midea staff in charge of relevant financial matters explained to NBD that seeing the uncertainties in an acquisition, enterprises generally apply to a financial institution for a short-term loan limit which is dedicated to the merger transaction. Enterprise would withdraw the so-called bridge loan after successful merger. And within one year since the withdrawal, enterprises would seek long-term loans to replace the bridge loan.

With regard to the successful financing from the consortium led by Chinese-funded banks, Midea Group Chairman and President Fang Hongbo said that Midea received strong support from Chinese-funded banks in the financing process. Such support indicates that Chinese-funded financial institutions and Chinese enterprise seek common development in international markets. Besides, Bank of China, the China Banking Regulatory Commission, the State Administration of Foreign Exchange and others gave Midea professional guidance, which embodies the support of regulatory institutions for physical manufacturing, Fang added.

Email: gaohan@nbd.com.cn