Apple supplier Manz to sell 29.9% stake to Shanghai Electric

German machine builder Manz AG announced plans to sell at least a 29.9 percent stake to Shanghai Electric Group Co, with the possibility of a full takeover, as the Apple Inc supplier restructures its operations and seeks to raise funds.

Manz will sell new stock priced "as close as possible to the market", up to a maximum 40 euros ($43.7) a share, to allow the Chinese company to take a holding, the Reutlingen-based manufacturer said in a statement on Sunday. Depending on the size of the holding Shanghai Electric obtains, the deal may eventually lead to a mandatory buyout offer under German market regulations.

Manz, which produces equipment for the solar industry as well as machines for manufacturing smartphones and tablets, outlined plans in December to cut 174 jobs, or about 10 percent of the workforce, to save 7 million euros in costs. The company said at the time that the curtailments were necessary due to "order postponements and cancellations".