Chinese construction company buys Avmax, diversifies into aviation
Chinese construction equipment maker Sunward Intelligent Equipment has bought Canadian aviation services provider Avmax Group, which has assets of up to $312 million, amid a sustained downturn in the construction machinery market.
Sunward closed the deal with Avmax’s biggest shareholder in mid-September, but the pricing has yet to be finalised based on Avmax’s future performance, among other factors, Sunward said in a stock exchanging filing late on Monday.
Sunward will raise up to 2.2 billion yuan ($347.24 million)via a private placement arrangement of shares to fund the acquisition, it added.
The deal would give Sunward a share of China’s fast growing aviation market, including regional aviation and jet leasing sectors, the statement said, by bringing Avmax’s expertise to the country. | READ MORE