Heavy equipment maker Sany eyes doubling of overseas revenue after Hong Kong IPO

Sany Heavy Industry, one of China’s largest heavy equipment manufacturers, plans to use the sum of up to US$1.5 billion that it could raise in a proposed Hong Kong initial public offering (IPO) to support global expansion, despite ongoing trade tensions between China and the US, according to an executive.

The Shanghai-listed company will use the capital to expand its sales and service networks outside China, Jiang Qingbin, vice-president of parent company Sany Group told the Post on Friday. The company, which filed for the IPO in February, is seeing strong demand from developing countries in Asia-Pacific, South America and Africa due to infrastructure development, he added.

Sany aims to more than double its overseas revenue to 100 billion yuan (US$14 billion) in the next three years, Jiang said. Revenue from overseas markets in 2024 rose 12 per cent year on year to 48.51 billion yuan, representing nearly 65 per cent of Sany total revenue that year, it reported last month.

“[After the IPO], we will continue to promote globalisation, but globalisation is not about building factories,” Jiang said. “It’s mainly about people – building localised marketing channels is probably the most important thing.”

People walk past cranes made by Sany at a factory in Beijing in October 2021. Photo: AFP

Sany is one of more than 100 companies, mostly from China, that are lining up for Hong Kong share listings this year amid improved market sentiment and a possibly narrow listing window amid escalating tariff tensions.

Founded in 1989, Sany manufactures equipment for concrete transport, excavation, lifting, road construction, and pile-driving. It was China’s largest exporter of excavators and concrete mixers last year, according to Chinese customs data.

South China Morning Post