Chinese auto parts maker Wonder Auto Technology Inc. said Tuesday it bought a majority stake in the company that owns Jinheng Automotive Safety Technology Holdings Ltd., expanding its presence in the automotive safety and electronic systems market.
Jinheng Automotive is controlled by Applaud Group Ltd. Wonder Auto said it now owns a 21 percent stake in Applaud following the transaction.
U.S.-traded shares of Wonder Auto rose 70 cents, or 5.6 percent, to $13.21 in afternoon trading after the announcement.
Wonder Auto, headquartered in Jinzhou City, also said the acquisition will allow it greater access to Jinheng Automotive's technology.
