In 1998 Electra wanted to acquire a factory in Pune, India. Electra’s team found an empty building and began the purchasing process, while also looking for suitable machinery
Electra purchases a manufacturing plant in China
In 1998 Electra wanted to acquire a factory in Pune, India. Electra’s team found an empty building and began the purchasing process, while also looking for suitable machinery. At the same time, an international public sale of equipment belonging to American company Whirlpool was announced. The sale was to take place at the factory in Shenzhen, China, so the Electra team quickly travelled to China to buy up as much cheap equipment as they could before the official public sale began.
The team was so impressed by the modern factory and how beautiful it was, they immediately saw the potential and the Indian factory paled in comparison. Suddenly, any attempt to equip it seemed like a waste of time and they began to wonder “If this factory were for sale, all we would need to do is turn the lights on and get to work…”
Potential buyers from across the world were invited to the sale, and a special catalogue displaying each of the machines was produced especially for the big event. Then, a sharp turnaround in events changed everything. After quickly consulting with the company’s owners, Electra’s CEO turned to the company’s Australian agent with an offer to “buy everything.” At first the agent flinched at the idea, but after regaining his composure he put the company’s owners in Hong Kong in touch with Electra’s CEO. By the end of the conversation both sides had agreed that Electra would purchase the factory, the land it was built on, and all of its equipment. That first conversation led to a historic conference call from Israel to Hong Kong, where the deal was finalized over the phone.
At that time, China was fertile soil, absorbing various industries from around the world. Electra managed to achieve its goal to bring about a revolution in the marketplace by reducing the price of its products and conquering new territory – an important milestone in the company’s activities.