Mining Magazine > Panorama > Joy Global announces investment in China-based International Mining

Joy Global Inc., the maker of P&H and Joy mining equipment, has agreed to acquire the China-based International Mining Machinery Holdings Ltd. (IMM). According to a statement released today, they will buy private-equity firm Jordan Co.’s shares, which represent approximately 41% of the issued share capital of IMM and are valued at about US$585 million.

Following Chinese antitrust approval of the sale, Joy will make an offer for the rest of the company, as required under the Hong Kong Takeovers Code.

IMM is a China-based designer and manufacturer of underground and longwall coal mining equipment. It has strong domestic market positions in roadheaders and longwall shearing machines, and is growing the share of its armoured-face conveyor and electric control systems businesses. It also provides aftermarket parts and services through a broad network or service and warehouse locations.

Mike Sutherline, President and Chief Executive Officer of Joy, said: “Leadership in the China market requires strong positions specific to each segment, and IMM is an established market leader in the local market with premier products for longwall shearing machines and road headers. IMM is a very strong complement to our Joy Mining and P&H businesses, and gives us leading positions in each of the major segments of the China market."

According to data compiled by Bloomberg, this acquisition may be one of Joy’s biggest, topping its US$1.1 billion purchase of LeTourneau Technologies Inc. in June.