Konecranes Acquires Company in South America

/ Source: GlobeNewswire

SPRINGFIELD, Ohio, Jan. 17, 2011 (GLOBE NEWSWIRE) -- In early January 2011 Konecranes acquired Gruas Koman Limitada, the former licensee of Konecranes in Recoleta, Santiago, Chile. The acquisition also includes the Peruvian start-up subsidiary, Koman Gruas Peru S.R.L. The companies are specializing in providing advanced overhead lifting solutions and maintenance services in Chile, Peru, and Bolivia. The company has an installed base of almost 500 cranes, a majority of these being Konecranes cranes. In 2009 the company's net sales amounted to approximately EUR 7 Million. The value of theacquisition is not disclosed.

Koman Gruas Limitada has been a Konecranes licensee for standard duty cranes since the early 1990s. The acquired company has almost 60 full-time employees, of which half are crane technicians. The company has an established crane maintenance business in Santiago, Antofagasta, Calama and other areas of Chile's mining districts.

The acquisition provides an excellent opportunity for Konecranes to further consolidate and ultimately expand its penetration into the overhead lifting equipment market in Chile, Peru, Argentina, and the rest of Spanish-speaking South America. Konecranes has up until now served this market via its fully-owned subsidiary originating from the earlier Morris Material Handling acquisition in 2006.

"South America holds a great potential for the future growth of Konecranes," says Tom Sothard, Senior Vice President and head of Konecranes Region Americas. "Gruas Koman is, via its installed base of equipment, an excellent base for building our service, parts and equipment business in South America."

The acquisition is expected to have an immaterial impact on Konecranes' results in 2011.

Scott Gilbey, VP Marketing and Communications


Konecranes, In., Region Americas

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