LiuGong plans to buy Polish HSW company bulldozer assets

LiuGong (000528) bulletin, the company recently with the Polish Huta Stalowa Wola S.A. (referred to as HSW Company) signed a memorandum of cooperation, the two sides agreed to LiuGong purchase HSW company under the Construction Machinery Business Unit (Division 1) and its wholly-owned subsidiary Dressta (　　including Dressta three subsidiaries) 100% of the equity and assets, and owns all of its intellectual property and Dressta trademarks.　　According to the memo, the acquisition price of the project is expected to be lower than the company's 2009 audited net assets of 4.107 billion yuan 10%, within the scope of approval of the company's board of directors, and this foreign investment does not involve related transactions. Division 1 has 74-515 HP full range of bulldozer product line, is the global bulldozer product line is one of the three most famous manufacturers, in addition to a 120-427 HP Loader product line, as well as pipe hanger machine, backhoe loader and other products.　　Dressta, a subsidiary of the company's construction machinery Business unit, is responsible for its overseas sales and foreign parts import business. The company said that by acquiring HSW's engineering machinery business unit, it would obtain all its intellectual property rights and trademarks directly, and could establish an efficient network of research, development, procurement, production, marketing and accessories services for the platform in the European market, which would greatly save the cost and time of building new plants overseas, Quickly the Eastern European market into LiuGong second local market, the bulldozer and other products sold directly to the entire European and North America and other high-end markets.