Cifa to see "Flowers open" in zoomlion overseas mergers and acquisitions "results"

On the evening of July 6, Zoomlion (000157).　　SZ) issued a notice, the acquisition of the company of Italy cifa―― the world's third-ranked concrete machinery manufacturers of five Italian executives to the total price of 3.1 million euros in the merger of the new CIFA company, the funds have been fully accounted for at the end of June. "With the global financial crisis still raging, the company's executive team is willing to take out real gold and silver shares in the company, indicating their confidence in the business." In addition, they are in their own business and management of the company, more than anyone know the company's details and prospects. Zhan, Chairman and CEO of Zoomlion, who has just returned from ――CIFA headquarters in Milan, said to reporters, "Cifa has passed through the most difficult period and is now back on track and is expected to make a profit this year." "Five executives 3.1 million euros in June 2008, China's construction machinery leading Enterprises Zoomlion formally acquired the Italian Cifa, a leap into the global concrete machinery faucet."　　The global financial crisis, which had been in profit since the cifa of mergers and acquisitions, led to losses in 2008, and led to speculation and analysis of the loss of overseas mergers and acquisitions by Chinese manufacturing companies. "After the completion of the merger, Zoomlion and Cifa have achieved a good synergy, so that CIFA has a stronger development strength, we have every reason to have the confidence in the economic recovery, the fastest-growing enterprises." The stakes are only one way to express our confidence. Cifa's current CEO, facilitator Marcon, speaks plainly.　　He subscribed for a total of 800,000 euros. The executives who joined him in the Cifa included Cifa's former chairman, Maurizio Ferrari, who subscribed for € 1.5 million, marketing director, production and research director and director of the Tunnel and infrastructure division.　　The total subscription amount is € 3.1 million.　　Not only that, the previous cifa of the Seller Magenta Fund, the main partner Edoardo Lanzavecchia will also buy 2 million euros in Cifa, and Cifa to renew the front. "When we went in, we found that the enterprise had no black holes and contingent liabilities, so the integration process went very smoothly and did not encounter any major obstacles," he said. Zhan said to reporters, "and I said to Hony in Milan, we chose the right team, CIFA management team and the team than the group, at least at the internationalization level of one to two steps higher."　　"Hony is the president of Lenovo Investment, in this acquisition, Zoomlion funded 162.6 million euros, after the completion of the acquisition of CIFA company 60% stake, and another 108.4 million euros Yu Hongyi investment company, Goldman Sachs and Manlinda fund jointly funded, the total payment of 271 million euros." But in the face of an unprecedented financial crisis, cifa a more than 60 million yuan loss in 2008. Shortly after the merger, Italy's economy emergedFor the first time in more than 20 years, the EU as the main market for CIFA, the average GDP growth rate of 2008 is only 0.9%, is the lowest in 10 years.　　Synergistic effect to be strengthened in the global concrete market has been a strong impact on the situation, CIFA has made this year than international peers such as German elephants, Schwien and other enterprises better performance.　　On a year-on-year basis, CIFA's operating income fell by about 50% per cent in the first quarter of this year, but fell 30% in the two quarter on a year earlier, falling by 20%. And from the chain indicators, the growth momentum is also considerable. "In the first quarter of 2009 years, Cifa lost 1.32 million euros, but from the two quarter onwards, the performance improvement is very obvious." April-quarter March growth of 155%, May than April 21%, May Cifa has begun to profit, the profit amount of hundreds of thousands of euros. Data for June are not yet out, but better than May.　　He Wenjin, director of Zoomlion Marketing in Milan, Italy, said on the phone. He said that the growth of performance mainly from the Middle East, North Africa, West Africa, East Africa and other emerging markets contributions.　　In addition, the relative market share of CIFA in western Europe and Eastern Europe has also been improved.　　According to an analysis by the Italian Center for building Markets and economics, the government has taken some measures to deal with the economic crisis, and public works funded by some countries have been launched by the end of 2008, and concrete consumption is expected to rebound in the second half of 2009.　　Prior to that, CIFA2006 's revenue growth of 20% in the three years to 2008, and net profit margins of 5% per cent, had been a pretty good performance for European companies. "Cifa's break-even point is around 17 million euros in monthly turnover, the May data has exceeded this balance, June is better than May, is not expected to be a loss in 2009, that is to say, including the financial costs of the acquisition of loans to include all the costs included in the CIFA2009 year is expected to be profitable.　　"He was in full confidence.　　However, the greatest pressure now felt is that the synergy between Zoomlion and Cifa has not really been fully reflected.　　As a result of the loan after the acquisition of the financial crisis, there is a voice questioned, that the acquisition of CIFA, not to do addition, but to do subtraction, will be a drag on Zoomlion's high growth performance. However, Haitong Securities researcher Li Guanyu June Mid-June of the study, said that Zoomlion 2009, 2010 earnings per share will reach 1.33 yuan, 1.61 yuan. As for the CIFA company, it believes that the two quarter will be better, the second half of the year is expected to continue to improve, the year may be a slight loss or break-even, better than the market expectations, for two reasons: First, Cifa part of the concrete machinery parts of the order transfer to zoomlion production, reduce production costs The second is that CIFA significantly reduced the number of employees at the end of last year (from more than 1100 to more than 700), artificialThis drastically reduced. "We did not consider layoffs when we acquired CIFA, and the downsizing was the intention of Cifa's management, mainly in response to the financial crisis."　　"Zhan said. "If you don't find the right team, don't do the mergers. "Relying on the successful series of domestic mergers and acquisitions to create the global construction machinery Industry 50 strong Zoomlion head Zhan Blunt," We are the principle of mergers and acquisitions, a good enterprise, the second is the development of the industry, the third is the merger of similar (industry enterprises). ”