Cargotec and Konecranes merge-HOIST Magazine

2021-12-10 10:57:04 By : Ms. Vernica Gong

Cargotec and Konecranes have agreed to merge to create a global business with a turnover of 7 billion euros.

The Cargotec Group includes Kalmar-a manufacturer of lifting equipment, including ship-to-shore cranes, yard cranes, straddle carriers and shuttles, and empty container handlers-and rope specialist MacGregor, which launched the first in 2019 The fiber rope offshore crane is called FibreTrac.

The proposed merger will be implemented as a legal merger, whereby Konecranes will be merged into Cargotec. The name of the future company and the location of its headquarters will be determined and announced later.

The goal of the new entity is to increase the current operating profit of 565 million euros by at least 10%, and to increase it by 100 million euros within three years.

Cargotec Chairman Ilkka Herlin said: "Sustainability has been an important part of Cargotec's agenda since its establishment. This merger allows us to become a global leader in sustainable logistics. Our customers are increasingly seeking green solutions. Solution, we will have a better opportunity to solve the challenges of customers. I believe that this is an excellent value creation opportunity whether from a business perspective or from a perspective of shaping global trade. In the future, the company will Have the ability to take advantage of these opportunities to create strong value for its customers, employees and shareholders."

Konecranes Chairman Christoph Vitzthum said: "The combination of Konecranes and Cargotec, with its iconic technology brand, innovative capabilities, talents and focus on sustainable development, will create a company that is significantly larger than the sum of its parts, providing a strong The synergy effect of the company and the creation of a unique platform for shareholders to create value. Customers will benefit from the comprehensive technology and better service capabilities of the two companies. This is a critical moment for the Finnish industry and the entire material handling industry. We are fully prepared And is committed to seizing this historic opportunity."

The proposed merger will create a global leader in sustainable logistics, with multiple customer-oriented brands and complementary products in its industries, factories, ports, terminals, road and marine cargo handling businesses. Solve sustainability challenges through innovations in automation, robotics, electrification and digitalization.

The merger of Cargotec and Konecranes is expected to unlock value for future shareholders of the company through complementary skills, increased R&D scale, top global talent, excellent operations and synergies. The synergy is expected to be approximately 100 million euros per year and will be fully realized within the first three years after completion.

Cargotec and Konecranes have approximately 29,400 employees in 50 countries. The company's extensive service network in the future consists of more than 8,500 service employees, providing services to customers from more than 800 service locations around the world. Industries served will include container handling, manufacturing, transportation, construction and engineering, paper and pulp, metal production, mining, power, chemical and marine industries.

Progressive Media International Co., Ltd. Registered address: 40-42 Hatton Garden, London, EC1N 8EB, UK. Copyright 2021 Progressive Media International Limited. all rights reserved.