STIHL acquires carburetor maker Zama

The STIHL Group took over carburetor manufacturer Zama, i.e. Zama Japan KK and Zama Corporation, Ltd., Hong Kong, on December 31, 2008. Zama is one of the world’s largest manufacturers of carburetors for handheld outdoor power tools and a longstanding supplier to STIHL. Commenting on the takeover, executive board chairman Dr. Bertram Kandziora said: “In acquiring Zama we want to safeguard the supply base of one of the core components of our products and also enter a new business segment with growth potential.”

Carburetor manufacturer Zama is a technology leader and a valuable development partner of the small-engine industry in the area of precision mixture control. STIHL will continue to adhere to the general course set by Zama. “Zama customers will be able to rely on the excellent development and supply service in the future, too”, says Dr. Kandziora.

Zama is a family-owned company. It was founded in 1952 and now manufactures more than 11 million carburetors every year. Annual turnover is in the region of US$ 80 million. It was agreed not to disclose the purchase price.

The group of companies bought by STIHL employs a workforce of about 2,100 men and women at its plants in Zama and Hachimantai (Japan) as well as Hong Kong and Shenzhen (People’s Republic of China). Of these, some 70 are employed directly in the companies acquired, while the rest are contracted to Zama by a state-owned enterprise.

The takeover of Zama, for which approval was originally applied for on November 19, 2007, was finally approved by the German antitrust office on January 13, 2009 following the purchase of the company’s interest in USA Zama, Inc. by independent third parties to comply with the provision of the antitrust office. USA Zama Inc., with its workforce of about 20, specializes mainly in the development and distribution of diaphragm carburetors for STIHL competitors and has been taken over by Siix Corporation and Iida Denki Kogyo Co., Ltd. – two Japanese manufacturers of ignition systems and electronic components.

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