Robotic pool cleaner manufacturer Maytronics Ltd. (TASE:MTRN) has signed an agreement to set up Maytronics Australia Ltd. as a new subsidiary that will be the exclusive distributor of the company's products Australia and in New Zealand. Maytronics set up the unit together with the managers of the subsidiary.
Maytronics will own 60% of the subsidiary and appoint three of its five directors. The subsidiary's managers will own the other 40% and will have the right to appoint two directors.
Maytronics will invest an insubstantial amount of cash and inventory of products and spare parts in Maytronics Australia when it is established,. Maytronics Australia's managers will make a cash investment proportionate to their holdings.
Maytronics is meanwhile terminating the distribution of its products via its current distributor in Australia.
Maytronics' share price rose 1.8% in morning trading to NIS 3.06, giving a market cap of NIS 308 million.
Published by Globes [online], Israel business news - www.globes-online.com - on March 9, 2011
© Copyright of Globes Publisher Itonut (1983) Ltd. 2011