Sinotruk Shares Soar On Trade Resumption After MAN Stake Buy
Sinotruk (Hong Kong) Ltd. (3808.HK) surged as much as 28% Thursday after German truck maker and engineering company MAN SE (MAN.XE) agreed to acquire a major stake in the company.
Analysts said the EUR560 million deal will give the Chinese truckmaker access to MAN's advanced engine technology and help its plan to become a major truck exporter.
At 0350 GMT, Sinotruk's shares were up 17.4% at HK$8.82, off a high of HK$9.60 at the start of the session. The stock had been suspended from trading since June 29, pending the announcement of the MAN acquisition.
The benchmark Hang Seng Index was up 1.8% at 18,584.
Sinotruk said Wednesday MAN plans to invest EUR560 million in the company by subscribing to convertible bonds and purchasing existing shares from Sinotruk's parent company, China National Heavy Duty Truck Group.
On full conversion of the convertible bonds, MAN will become the company's second-biggest shareholder with a 25%-plus-one-share stake, with Sinotruk's parent holding 51%.
"We view this tie-up as a long term positive for Sinotruk, which would make it one of very few Chinese truck makers with access to the global truck platform and ability to differentiate itself from other local peers," Morgan Stanley said in a note Thursday.
Francis Lun, general manager at Fulbright Securities, said the deal will support Sinotruk's shares and other companies in the sector.
"MAN's purchase of shares is supporting a positive view on the industry," Lun said.
Views:0
- SINOTRUK Launches Its New Generation of C9H Truck 2022-03-18
- Mass SINOTRUK Electric Trucks Put into Operation in Port and Logistics Sectors 2022-03-17
- SINOTRUK Achieves Sales of 27,725 Vehicles in January, 2022 2022-02-28
- China’s Domestic Tractor Sales Exceed 40,000 Units in January 2022-02-21
- SINOTRUCK’s Hydrogen Heavy-Duty Trucks Help Build-up of Green Ports 2022-01-13
- SINOTRUK Heavy-duty Truck Sales Jumped up to the Second Place in 2021 2022-01-04
- Malaysia: Roda Dimensi Is On Track with SINOTRUK SITRAK 2021-11-05
- China Top 10 Tractor Head Performers in September 2021-10-22
- CNHTC to Release its First Pickup in Q4 2021-05-20
- CNHTC Rolls Out Fifth Generation S-AMT 16-speed Transmission 2021-03-22
Submit Your Requirements, We Are Always At Your Service.
- BYD Stopped the Production of Fuel Vehicles
- Geely Began Test Runs of Green E-methanol Vehicles in Danmark
- 2022 SANY Global Dealer Summit Was Held Successfully Online
- BYD and Shell Partner on EV Charging across China and Europe
- Daimler Truck Significantly Increase Sales, Revenue and Net Profit in 2021
- Scania Year-end Report January-December 2021
- Hyundai Motor and Iveco Group Sign MOU to Explore Future Collaboration
- GAUSSIN Enters China, the Largest Truck Market in the World
- Over 1,200 Hydrogen-powered Vehicles Deployed for the Beijing Winter Olympics
- Chinese New Year Holiday Closure Notice
- China's Truck Exports Grew by 30% YOY to 63490 Units in January-February
- China's New Energy Heavy Trucks Grew Despite an Overall Slump
- Heavy-duty Truck sales in China Fell by 54% to 54,000 units in February
- SINOTRUK Achieves Sales of 27,725 Vehicles in January, 2022
- China’s Domestic Tractor Sales Exceed 40,000 Units in January
- 2021 JAC International Pickup Export Performance
- JAC Achieved a Great Result in 2021
- China's Truck Export in 2021 Reached a 10-year Peak
- Heavy-duty Truck Sales in China Fall 57 Percent on Year in January
- China Recorded Sales of 645000 Tractors in 2021