Sinoma acquires majority stake in Hazemag

Sinoma International Engineering Co Ltd has acquired a majority stake in German mining equipment firm Hazemag & EPR for US$137m.

Beijing-based Sinoma bought the 59.09 per cent stake from the Schmidt Kranz Group through a share purchase agreement, according to a statement filed by Sinoma's parent company, the China National Materials Co Ltd.

The deal will help Sinoma International expand its reach in mining equipment and has been approved by China's State-owned Assets Supervision and Administrational Commission (SASAC), CNM said.

"[It] will improve the technique, strengthen the management and establish the channels for the purpose of rapid expansion of Sinoma International to the field of mining equipment and generate more return for the group when Hazemag makes more profit in the future," Sinoma chairman Liu Zhijiang said in the statement.