UPDATE 2-ChemChina-led group buys Germany's KraussMaffei for $1 bln in record deal
* Deal is biggest Chinese acquisition of a German company
* Buyers include ChemChina, private equity firm AGIC
* Chinese companies seek tech know-how of Western firms
* ChemChina adds KraussMaffei to Pirelli purchase
By Elzio Barreto and Denny Thomas
HONG KONG/LONDON, Jan 11 (Reuters) - The biggest-ever Chinese acquisition of a German company was announced on Monday, with a consortium led by state-owned China National Chemical Corp (ChemChina) buying industrial machinery maker KraussMaffei Group for about $1 billion.
The deal is the latest example in recent years of deep-pocketed Chinese companies seeking to gain the technological expertise, distribution networks and branding of Western firms, often built up over several decades.
It also comes at a time when China's weakening currency is encouraging companies from the country to shift investments overseas, which is expected to drive more dealmaking this year.
The ChemChina-led consortium, which also includes Guoxin International Investment Corp and private equity firm AGIC Capital, has agreed to buy KraussMaffei from Canada's Onex Corp for 925 million euros, AGIC and Onex said, confirming a Reuters report on Jan 7. Continued...