KION's shareholders are injecting at least EUR100 million (USD143.9 million) into the company to "cushion" it from the global recession and accelerate its growth plans.

KION head of communications Michael Hauger tells Forkliftaction.com News that Goldman Sachs and private equity company KKR have offered the forklift maker a loan "in the magnitude of EUR100 million (USD143.9 million)".

"Although KION [is performing] very well under the circumstances of the current global recession, the company does not require any additional cash.

"Our net cash position is very strong and cash flows are also solid," Hauger says.

However, the loan from KION's shareholders is "a sign of their strong support of KION's business and an additional cushion as well, which could be used to further accelerate KION's growth strategy, and make use of potential growth opportunities during this crisis", he explains.

Last month, German economic daily Handelsblatt reported that KION was renegotiating its covenants with its financing partners. Hauger clarified then that KION is able to fulfill all its covenants for the first half of financial year 2009 and "there is no need to renegotiate credit terms" (Forkliftaction.com News #419).

Hauger added that KION's examining of its financial arrangements and updating its financing partners on its business developments was "normal" and had nothing to do with Goldman Sachs and KKR.

He also told Forkliftaction.com News that KION had a strong net cash position and would invest about EUR100 million (USD143.9 million) in group R&D efforts.