Finnish company Konecranes Plc. has completed its second phase of acquisition in the Indian crane company WMI Cranes Ltd and upped its holding to 100 per cent, the company has said in a statement today.
The first phase of 51 per cent acquisition took place in February this year for Rs 169 crore ($37.3 million). With the second phase of 49 per cent acquisition now complete, Konecranes has spent a total of Rs 358 crore ($79 million) to acquire 100 per cent stake in WMI Cranes.
“The acquisition marks an important step in strengthening Konecranes’ position in the growing Indian crane market,” the company said on the deal.
WMI’s net sales exceeded €30 million and it has a strong order book to support further net sales growth in 2011. The acquisition is expected to have a neutral impact on the EPS in 2011.
WMI Cranes Ltd is the leading manufacturer of cranes and material handling equipment, extensively used for handling materials in machine shop, structural shop, chemical, fertilizer and paper plants, cement factories, dams and stock yards.
The company has manufacturing plants at Bhandup (Mumbai) and Jejuri (Pune), with a total equipment manufacturing capacity of 4,000 tonnes per year. So far, the company has supplied 5,000 cranes to national and global customers, such as Piramal Steels, Bhilai Steel Plant, Jindal Steel, Malcolm Moore and many more.
Konecranes is a leading group providing lifting solutions and serving a broad range of customers, including manufacturing and process industries, shipyards, ports and terminals. In 2010, the group sales totalled €1,546 million. It has around 11,200 employees on board across 578 locations in 46 countries and is listed on the NASDAQ OMX Helsinki.