China: China Sinoma International Engineering will increase its capital expenditure by 29% to US$1.81bn some of which may be spent on acquiring European companies.
The Chinese state-owned cement equipment manufacturer and cement producer has set aside US$80.5m to acquire mostly foreign cement equipment companies, said chief financial officer Yu Kaijun as reported by the South China Morning Post. "We are in talks to acquire some European cement equipment companies, including German ones."
In the cement equipment sector, Sinoma International would explore opportunities in Africa, the Middle East and Southeast Asia, said Sinoma chairman Liu Zhijiang. "It will secure its footing in long-term strategic markets, including Russia and South America and enhance its influence in India," he said.
In 2013 Sinoma International aims to secure more than US$4.83bn of orders for cement equipment with about two-thirds of these originating from outside of China. So far Sinoma International has secured US$1.61bn of orders since January 2013, mostly from abroad. Sinoma will also invest US$956m in expanding cement production capacity in China, a decrease from the US$1.13bn it spent in 2012.
