Putzmeister and Sany merge to create global Leader for Concrete Pumps

Sany, together with the Chinese Private Equity company Citic PE Advisors as a minority shareholder, will acquire 100 per cent of Putzmeister, Germany.

Putzmeister Holding and Sany Heavy Industry announced the signing of an agreement on the merger of both companies. Sany, together with the Chinese Private Equity company Citic PE Advisors (Hong Kong) as a minority shareholder, thereby acquires 100 per cent of Putzmeister.

Aichtal/Germany – Putzmeister develops, produces and sells construction machinery world-wide, especially concrete pumps, for the building- and mining-industry, as well as for tunnel construction and large-scale industrial projects. Sany, based in Changsha, China, is a large Chinese producer of construction machinery and market leader for concrete pumps in China, which is the largest and fastest-growing market for concrete pumps and other industrial equipment world-wide. The business activities of Putzmeister and Sany are highly complementary geographically. The merger of the Chinese market leader in concrete pumps with the leading provider in most markets outside of China thus follows a clear strategic and industrial rationale: the creation of the global market leader for concrete pumps.

Both partners benefit substantially from the combination. Sany’s financial strength secures Putzmeister’s growth prospects and provides a significant competitive advantage. Sany adds to its portfolio technologically cutting-edge products and innovations “Made in Germany” and acquires a strong distribution and service network outside of China.

Aichtal/Germany will become Sany’s new headquarter for concrete machinery in the world outside China. Putzmeister will continue to operate with a high degree of independence in day-to-day management. Sany will focus on operations in China where Putzmeister will continue to be the premium brand. Norbert Scheuch will remain in his position as CEO of Putzmeister within Sany and will join the Sany executive board. The entire proceeds of the transaction will be transferred to the benefit of the Karl Schlecht Gemeinnützige Stiftung (KSG) and the Karl Schlecht Familienstiftung (KSF).

The final closing of the deal is subject to approval by the relevant authorities and the customary closing conditions. Both parties agreed not to disclose the financial terms of the transaction.