Zoomlion enters the global environmental industry with acquisition of Italian company Ladurner

Seven years ago, Zoomlion acquired Italian company CIFA and became the world's leading manufacturer of concrete machinery. Seven years later, Zoomlion has again teamed up with the Mandarin Fund and acquired a 75% stake in Italy's Ladurner for RMB 508 million, a move that gave Zoomlion the largest share of the Chinese environmental and sanitation machinery market. It will also allow the company to transform itself more quickly from an environmental and sanitation machinery supplier to a complete environmental industry solutions provider and investor.

Ladurner was founded in 1990 and is Europe's leading environmental and renewable energy solutions provider and investor. It is involved in more than 30 environmental projects in Italy and other countries around the world in the areas of urban solid waste treatment, sewage treatment, renewable energy, soil reclamation and environmental consulting services. As Zoomlion Deputy Chief Engineer and President of Academia Sinica, Dr. Fu Ling explained, "Italian company Ladurner has a wealth of experience in the areas of environmental industry technology, environmental general contracting, operations, management and innovation, as well as in EPC, PPP, BT, BOT, BOO and other types of projects; it is a world leader in the areas of incineration power generation technology, anaerobic and aerobic technology, wastewater treatment technology and RDF technology."

With this acquisition, Zoomlion has directly obtained more than 30 environmental projects overseas, which will form a stable source of profits. This will also allow Zoomlion to integrate Ladurner's world-leading technology and project operation experience in the environmental industry with its own powerful manufacturing capabilities, market network and capital operations, in order to expand rapidly in the international and domestic environmental industry markets and become a multinational environmental industry company with leading technologies and global competitiveness. In the next 3 to 5 years, the income of Zoomlion Environmental Industry Company should increase considerably and may even exceed that of the construction machinery sector.

"In the future, Zoomlion will use its advantages in products, technologies, markets and brands, draw support from the capital markets, further integrate high-quality resources on a global scale, continue to increase investment in the environmental industry and strive to build Zoomlion into one of the leading enterprises among Chinese and global environmental industries that integrates equipment manufacturing, investment and operations," said Zoomlion Vice President and General Manager of the Environmental Industry Company, Chen Peiliang.

According to a long-term investor who has tracked the development of Zoomlion, since listed in 2001 it has completed more than 10 domestic and international mergers and acquisitions, and with the help of ongoing acquisitions, the company plans to develop from a regional construction machinery enterprise into a global industry leader. Zoomlion is currently replicating this strategy in the environmental industry as part of its objective to create the world's leading environmental industry company. This acquisition of Ladurner is merely the first step in a grand plan which aimed at integrating the global environmental industry.