Press Release
Weichai Power and KION Group further expand their long-term strategic partnership China Development Bank to provide financing of up to EURO 500 million
Berlin, 26 May 2013 - Weichai Power Co., Ltd. ("Weichai Power"), a leading Chinese automotive and equipment manufacturer and a part of Shandong Heavy Industry Group
("SHIG") and KION Holding 1 GmbH ("KION Group"), a leading global supplier of industrial trucks and related services, take steps to further their long-term strategic
partnership. The partnership, so far the largest direct Chinese investment in Germany, was first announced on 31 August 2012 and implemented on 27 December 2012.
In the presence of Dr. Angela Merkel, the Chancellor of the Federal Republic of Germany, and Li Keqiang, the Prime Minister of the People's Republic of China, representatives of the two partners and of China Development Bank, China's largest outbound investment and financing bank, signed a framework collaboration agreement on Sunday. The three parties agreed that Weichai Power and KION Group will intensify their cooperation through mutually agreeable means and that China Development Bank will provide a full range of financial services including financing of up to EUR 500 million to support the expanded collaboration.
Weichai Power, through its Luxembourg based subsidiary Weichai Power (Luxembourg) Holding S.à.r.l., currently holds a 25% stake in KION Group and has a call option to
increase its shareholding in KION Group to 30% on a fully diluted basis upon the completion of a potential future IPO of KION Group. Weichai Power holds a further option
to acquire an additional 3.3% stake in KION Group from Superlift Holding S.à.r.l., Luxembourg, a company controlled by funds advised or controlled by Goldman Sachs
and KKR.
Tan Xuguang, Chairman and CEO of Weichai Power said: "We are very happy that China Development Bank will provide the financing to support Weichai Power's investment in and collaboration with KION Group. Our equity investment and call options for more shares in KION Group will demonstrate our strong commitment to the common goals of KION Group and Weichai Power. During the past months our strategic partnership has
got off to an encouraging start."
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Gordon Riske, CEO of KION Group, said: "This highly welcome expansion of our long-term strategic partnership will be an additional catalyst for our strategy to
continuously expand our forklift truck business in the growing Asian markets. The partnership with Weichai Power and the spirit the two partners share provide exciting opportunities to leverage on our successful growth strategy. Our teams have already started to implement a close strategic collaboration."
For Weichai Power, venturing into the world's leading forklift and high-end hydraulic fields has brought about clear improvements to the structure of its corporate product division, as well as to its upgrading of enterprise products. In addition, there is greater rationalisation of its corporate global strategic business structure.
For KION Group, the strategic partnership with Weichai Power provides additional access to key Asian growth markets as it will leverage Weichai Power's strong local roots and relationships. KION Group will also have access to a larger supplier base throughout China and Europe.
In 2012, Weichai Power has invested a total of EUR 738 million, including EUR 467 million for the acquisition of a 25% stake in KION Group through a capital increase and
EUR 271 million paid to Linde Material Handling GmbH to acquire its 70% majority stake in Linde Hydraulics. Proceeds from this transaction further strengthened KION Group's capital structure
Showing items 16 - 22 of 22 results.
No answer on the prototype from Dave hey Normandy! I think, like most do, that it may be a bit of a dream!
Rocla is part of the Mitsubishi/Cat group. Jung is a partnership for distribution in USA, Canada, South America and Latin America
Hi lifter01 i have seen the Heli big truck and it is as good as any of the main OEM'S in the heavy truck market. Uses the same components as the likes of Kalmar and KONE. I also know who the designers were and they are good. you will be surprised by the Heli truck over 20,000kg. with this Heli has changed direction not the Chinese designers but a very good European company who have experience of working with the top OEM'S in Europe. It is as good as any European manufactured truck
Cat and Mits do have some type of tie up with Junghienrich already and i can see this progressing even more.
Cant really see most of that happening Dave Mitsi Cat and Jungheinrich cant see that one happening mitsi cat dont need them they seem to be doing ok with Rocla
Sammons buying Nacco think that ones a definite though.
Crown seem to be one of the ones really going for it at the moment lots of kit around really cant see them just going after the US market
cant see the Japs joining forces Toyota dont need whatever Nissan are calling themselves this week or Tcm
as for Heli and Sany sorry cant see them making a good product maybe best of the Chinese manufactures but still a long long way behind the likes of Hyster Crown Linde or any of the rest
If you are that close to production you must have a prototype completed
It would be nice to see some photo's when they are available.
I agree KION have had to sell out to the Chinese who will survive will be telling., I can see the Japanese joining forces and Junghienrich going with Mits Cat. NACCO would survive if the go to Sammons and that will just leave CROWN who will concentrate on the USA and survive there. But for the rest its anybodies guess. Especially in the larger truck end Heli and Sany to enter this market this year with quite good trucks plus we will definitely be in the market before the end of the year so the market is going to get more competitive. How will the likes of Kalmar Linde KONE all of a sudden drop their prices will be interesting. These have all-way's claimed they are a premium product but now customers want a more price competitive product not a premium product.
Done deal
KION have no choice
Without the Chinese they are FXXXXd ,DEAD Ducks, GONNERs
however you wish to describe it
But that also applies to most of the rest
Interesting to see who will have survived in 5 years
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