02.01.2008

Yongmao/Tat Hong listing to go ahead

Tat Hong Subsidiary Sunfield Investments, which owns 30 percent of Chinese tower crane manufacturer, Fushun Yongmao Equipment Manufacturing Co, has received approval to go ahead with its listing on the main board of the Singapore Stock Exchange.

Tat Hong, which also owns Tutt Bryant in Australia, controls 77.5 percent of Sunfield owning 62.2 percent directly, while Leadpoint, in which it has a 70 percent share, owns a further 15.55 percent. The balance is owned by Fushun Yongmao. The joint venture was established in August 2005.

Throughout 2007 Tat Hong has been expanding its presence in the Chinese tower crane market. In addition to its holding in Yongmao it has completed the set up of two joint venture tower crane rental operations.

The first, announced in January, was with China’s largest tower crane rental company, Beijing Zhongjian Zhenghe Construction Machinery Co which merged its fleet with Tat Hong’s along with an injection of capital from Tat Hong to create a 50/50 joint venture called Shanghai Zheng He Tat Hong Construction Equipment Rental Co, which has since been renamed as Jiangsu Zhenghe Tathong Equipment Rental Co.

The second venture was the acquisition in April of a 76.4 percent stake in Jiangsu China Nuclear Industry Huaxing Construction Machinery Co. tower crane rental company with a special focus on the Chinese nuclear power industry.