REL: 0830 HRS Rakon Limited
GENERAL: RAK: Rakon & Huawei Technology Partnership
Technology company Rakon (RAK) will today sign a letter of intent with
Chinese Huawei Technologies Co. Ltd. The deal targets a quadrupling of
Rakon's sales to Huawei over the next five years to USD56 million.
Rakon's product range, advanced technology and competitiveness were
significant factors for Huawei, who will use the company's frequency control
products in its handsets, smart devices and infrastructure programmes.
Rakon Managing Director, Brent Robinson, says the company had been working
closely with Huawei for some years. "The letter of intent recognises the
greater scale and breadth of our product range, validates our commitment to a
strategy of globalisation and our investment in operations in China."
He credits the assistance of Trade Minister, Tim Groser and NZ Trade and
Enterprise in helping facilitate the deal and the 2011 trade mission to China
that was a catalyst for the enhanced relationship with Huawei.
The signing ceremony, held at NZTE's Wellington office, will be attended by
Mr. Ping Guo, Huawei Deputy Chairman and the Letter of Intent signed by Mr.
Fuhai Yao, Huawei President of Global Procurement.
"This is a significant partnership for Huawei, with Rakon providing crucial
electronic components," a Huawei spokesman said.
"Huawei's supply chain is truly global, with only the most impressive and
competitive suppliers selected. Rakon's success is testament to New Zealand's
ability to produce world-leading products and innovations."
NZTE Chief Executive Peter Chrisp congratulates Rakon and Huawei on their
partnership: "I'm pleased to congratulate Rakon and Huawei on their
announcement today. Successful global partnerships are key to the growth of
New Zealand companies internationally.
"Rakon's advanced technology tells a great story for New Zealand, and their
commitment to China and the potential it offers is a good example of what a
long-term approach can deliver," Mr Chrisp says.
End CA:00226159 For:RAK Type:GENERAL Time:2012-08-20 08:30:46