In February last year, Sany Heavy Industry joined hands with Palfinger to build the top crane brand, and it has grown stronger since. For example, the knuckle-boom cranes under Sany Palfinger have completed the lifting operations for the return capsule of China's Shenzhou spacecraft five times. Where will the cooperation between Sany Heavy Industry and Palfinger go?

　　Sany Heavy Industry plans cross-shareholding of 10% equity with Palfinger

　　According to news from Sany Heavy Industry, on September 30, 2013, Sany Heavy Industry and Austria's Palfinger Group reached an agreement in Beijing to further strengthen their strategic partnership through mutual 10% equity holdings.

　　The announcement stated that Sany Heavy Industry plans to subscribe to newly issued Palfinger shares and purchase existing shares from the Palfinger family through appropriate means to acquire a stake in Palfinger, with total holdings equal to 10% of Palfinger's shares after the issuance of new shares (excluding treasury shares), with a total investment of approximately 108 million euros.

　　At the same time, Palfinger will invest 110 million euros through capital increase in Sany's crane business companies, including Sany Automobile Hoisting Machinery Co., Ltd. and Zhejiang Sany Equipment Co., Ltd. After the capital increase, Palfinger will hold 10% equity in each of the two crane business companies.

　　"Ideal partners" join hands

　　Sany Heavy Industry is once again deepening cooperation with the world-renowned crane manufacturer Palfinger. Austria's Palfinger AG and China's Sany Heavy Industry Co., Ltd. signed an agreement on February 28 last year to establish two joint ventures, each holding 50% of the shares. This is another substantive move by Sany Heavy Industry to enter the global market after its previous acquisition of the global concrete machinery giant Germany's Putzmeister, known as the "Elephant."

　　In 2012, the established joint venture Sany Palfinger, targeting the Chinese and global markets, mainly produces and sells Palfinger's loader crane products in Changsha, with a total investment of 900 million RMB and registered capital of 30,000 RMB; the other, named Palfinger Sany, with its registered office in Salzburg, distributes truck cranes produced by Sany Heavy Industry in overseas markets outside China, with a total investment of 4 million euros and registered capital of 2 million euros. The former mainly targets the Chinese and global markets, researching, developing, producing and selling special vehicle equipment such as loader cranes, while the latter mainly sells Sany wheeled crane equipment in international markets such as Europe, CIS countries, and the Americas.

　　It is understood that Palfinger is the global leader in the loader crane market. To develop the Asian market, in the first half of 2011, Palfinger began actively seeking suitable "ideal partners" among China's construction machinery giants, and Sany Heavy Industry stood out among many Chinese construction machinery enterprises.

　　Some experts pointed out that with Sany's advantages, Palfinger will quickly enter China's loader crane market and completely change the market landscape of China's loader crane industry, while Sany, with Palfinger's advantages, will also open a new path for the internationalization of Sany cranes and comprehensively enhance Sany's global influence.