EANS-News: PALFINGER AG Reversal of Cross-Holding with SANY Reduces Complexity and Assures Continued Successful Growth
--------------------------------------------------------------------------------
Corporate news transmitted by euro adhoc with the aim of a Europe-wide
distribution. The issuer is responsible for the content of this announcement.
--------------------------------------------------------------------------------
Successful partnership allows simpler shared structures.
Buybacks/Joint Ventures/Cooperation/Collaboration
Bergheim - On December 15, 2021, PALFINGER and SANY HEAVY INDUSTRIES signed an
agreement on the reversal of the cross-shareholding. This substantially
increases PALFINGER's strategic scope.
"Following years of constructive and successful cooperation on the operational
joint ventures, the cross-holding is no longer necessary," says Andreas Klauser,
CEO of PALFINGER AG. "In addition, the complexity of our partnership is
reduced." The operational cooperation with SANY will be further expanded on the
basis of the good sales structure and access to the Chinese construction
industry.
To implement reversal of the cross-holding a closing price of the PALFINGER
share of at least EUR 34.68 is required by December 31, 2023. Completion of the
transaction will have a positive effect on PALFINGER's earnings of at least EUR
12 million.
Additionally, this restructuring of the cooperation between PALFINGER and SANY
will allow the companies to react even better and more efficiently to the
volatile market conditions.
In China and the CIS states, the successful joint ventures will be further
intensified. "The joint venture in China continues to show great potential and
will be expanded," says Andreas Klauser.
Since 2012, SANY has been a strong partner for PALFINGER in the development of
the Chinese market. The cooperation makes it possible to draw on SANY's
resources, know-how, manpower and sales network. Since early 2014, production
has been based in Rudong in the industrial zone near Shanghai where the
workforce currently numbers 400 and turnover is around EUR 80 million. "This
success is shown by the fact that PALFINGER is now no. 2 and the only European
company with a relevant share in the crane market in China," adds Andreas
Klause. "This year, over 4,000 cranes have already been produced at this site.
That means we have already surpassed our targets by 10%."
The reversal of the cross-holding that has been agreed represents another
important step toward significantly increasing PALFINGER's headroom for
potential acquisitions and investment and assuring continued growth.
+++
ABOUT PALFINGER AG
The international mechanical engineering firm of PALFINGER is the global leader
for innovative crane and lifting solutions. With more than 12,000 employees, 34
manufacturing sites and a worldwide network of dealerships and maintenance
centers at over 5,000 locations, PALFINGER is always close to the customer.
As the leader in its engineering field, the company aims to ensure its partners'
business success in the long term by providing solutions and products that
remain economically and ecologically viable in the future. Its broad product and
model portfolio allows PALFINGER to take digitalization and the deployment of
artificial intelligence to new levels.
As a global company with strong roots in its home region, PALFINGER is convinced
that thinking and acting in the interests of sustainability play a vital role in
successful business operations. This is why the company assumes social,
ecological and economic responsibility along the entire value chain.
PALFINGER AG has been listed on the Vienna stock exchange since 1999 and in 2020
achieved revenue of EUR 1.53 billion.
Further inquiry note:
Hannes Roither | Company Spokesperson | PALFINGER AG
T +43 662 2281-81100 | h.roither@palfinger.com
end of announcement euro adhoc
--------------------------------------------------------------------------------
issuer: Palfinger AG
Lamprechtshausener Bundesstraße 8
A-5020 Salzburg
phone: 0662/2281-81101
FAX: 0662/2281-81070
mail: ir@palfinger.com
WWW: www.palfinger.ag
ISIN: AT0000758305
indexes:
stockmarkets: Wien
language: English
