October 26 (SeeNews) - Bulgarian IoT products maker Allterco [BUL:A4L] said that the company's board of directors approved plans to establish a wholly-owned subsidiary in Germany - Allterco Europe GmbH.
The subsidiary will be headquartered in Munich and will have a registered capital of 500,000 euro ($580,860), Allterco said in a bourse filing late on Monday.
The registration of a subsidiary in Germany, one of the main European markets for IoT devices under the Shelly brand, aims to optimise distribution, logistics and customer service, as well as to develop the trade network in the country and reinforce the brand's positioning," the company said .
According to Allterco's most recent financial report, the company owned 100% in three companies registered outside Bulgaria at the end of June - US-based Global Teracomm Inc., Singapore-based Allterco PTE, and Malaysia-based Allterco SND. The company also controlled 49% of Thailand-based Allterco Co. at the end of June.
Earlier this year, Allterco said that it is planning to set up a joint venture company in China with a longstanding partner of its unit Allterco Robotics. Allterco will initially own 30% of the company with an option to subsequently increase its interest to up to 80%, the company said at the time.
Allterco's consolidated sales of IoT devices and related services rose by an annual 55% to 37.8 million levs ($22.3 million/19.3 million euro) in the nine months through September, the company said last week. The sales of devices from the home automation brand Shelly rose 62% on the year in the January-September period, Allterco also said back then.
As at 14:40 CET on Tuesday, shares in Allterco traded 1.61% lower at 18.30 levs on the Sofia bourse.
(1 euro = 1.95583 levs)