ITP MEDIA GROUP / BUSINESS SEPTEMBER 2021 • VOLUME 15, ISSUE 09 THE ACQUIRER RITCHIE BROS.’ HAS A HISTORY OF MAKING STRATEGIC ACQUISITIONS FOR GEOGRAPHIC EXPANSION AND DIGITAL TRANSFORMATION. THE $1-BILLION ACQUISITION OF EURO AUCTIONS GIVES THE GLOBAL AUCTIONEER UNPRECEDENTED MARKET DOMINANCE IN THE EMEA REGIONPutzmeister Concrete Pumps GmbH 72631 Aichtal · Germany · www.putzmeister.com Putzmeister Middle East Jumeirah Lakes Towers (JLT) · Indigo Icon Tower Cluster F Office, no. 1008 · P.O. Box 338400 · Dubai, U.A.E. Tel: +971 (0) 4 454 27 83 · Fax: +971 (0) 4 454 27 82 The ne w rock solid elephant: BSF 51-5.16 HLS – robust, versatile, economical 28 87 -3 E N (0 2) All truck-mounted con- crete pumps in Middle East are equipped with the partial flow filter – an investment that saves in the long run ■ Fewer full oil changes and less used oil ■ Minimized wear of the hydraulic components ■ Absorbs water ■ Reduces maintenance and staff costs and machine downtimes #PMknowsCONTENTS 03 PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comSEPTEMBER 2021 12 Cargo handling DP World to supply 81 Kalmar terminal tractors to Jeddah port 06 Auctions Euro Auctions’ next Dubai sale to be held on 27 September 34 Trucks Top 5 reqirements for articulated haulers in tunnelling environments 38 Lift ing and access Link-Belt to launch 120-ton hydraulic truck crane SEPTEMBER 2021 VOLUME 15 • ISSUE 09 20 Cover story Ritchie Bros. acquires Euro Auctions for $1.08 billion 26 Road construction Al-Bahar expands customer base with tailor-made solutions 28 Road construction Dynapac drives electromobility with customer collaborationEDITOR’S LETTER 04 BY DENNIS DANIEL PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comSEPTEMBER 2021 T he global disruption triggered by COVID-19 led executives at many companies to review their portfolios during 2020 and into 2021 to reassess their strategies. These reviews have led to both strategic acquisitions and divestitures as companies redirect management resources and funds into those parts of the business with the highest growth potential and where they enjoy a distinctive competitive advantage. This has led to a trend of corporates using M&A to acquire capabilities they don’t have, oft en in technology, to enhance existing capabilities and reinforce that advantage. A PWC report titled ‘Global M&A industry trends: 2021 mid-year update’ indicates how focusing on competitive advantages has worked well for companies that were able to incorporate technology into their products and services during the pandemic. Leaders at companies that lacked these capabilities recognised the importance of acquiring them, leading to an increase in eff orts to fi nd the right target and execute a deal, whether through outright acquisition, joint venture or strategic alliance. For example, John Deere has a long-term strategy to create smarter machines with advanced technology. The company views autonomy as an important step forward for the agriculture industry, and therefore, invested $250 million to acquire Bear Flag Robotics, a Silicon Valley-based startup that develops autonomous driving technology compatible with existing machines. CNH Industrial will be spending nearly $120 million over the next four years to acquire Italy-based excavator manufacturer Sampierana to gain a competitive advantage in the mini and midi excavator market. Hyundai Heavy Industries (HHI) Holdings has acquired a nearly 35% stake in Doosan Infracore for approximately M&A, A FAST ROUTE TO COMPETITIVE ADVANTAGE PO Box 500024, Dubai, UAE Tel: +971 4 444 3000 Web: www.itp.com Offices in Dubai, Abu Dhabi, London & Mumbai ITP MEDIA GROUP CEO Ali Akawi Managing Director Alex Reeve EDITORIAL Editor Dennis Daniel dennis.daniel@itp.com +9714 444 3615 ADVERTISING Group Sales Manager Anup Nagpurkar anup.nagpurkar@itp.com +971 4 444 3573 ITP LIVE General Manager Ahmad Bashour ahmad.bashour@itp.com +971 4 444 3549 PHOTOGRAPHY Senior Photographers Efraim Evidor, Adel Rashid Staff Photographers Aasiya Jagadeesh, Ajith Narendra, Fritz John Asuro, Yuliya Petrovich, Jessica Samson. PRODUCTION & DISTRIBUTION Group Production & Distribution Director Kyle Smith Production Manager Basel Al Kassem Production Coordinator Manoj Mahadevan Image Editor Emmalyn Robles CIRCULATION Distribution and Circulation Manager Evijin Pathrose Distribution Coordinator Avinash Pereira Circulation Executive Rajesh Pillai MARKETING Director of Awards & Marketing Daniel Fewtrell ITP GROUP CEO Ali Akawi CFO Toby Jay Spencer-Davies Subscribe online at www.itp.com/subscriptions The publishers regret that they cannot accept liability for error or omissions contained in this publication, however caused. The opinions and views contained in this publication are not necessarily those of the publishers. Readers are advised to seek specialist advice before acting on information contained in this publication which is provided for general use and may not be appropriate for the reader’s particular circumstances. The ownership of trademarks is acknowledged. No part of this publication or any part of the contents thereof may be reproduced, stored in a retrieval system or transmitted in any form without the permission of the publishers in writing. An exemption is hereby granted for extracts used for the purpose of fair review. Published by and © 2021 ITP MEDIA GROUP FZ-LLC. $734 million. Both the companies will operate independently under HHI Holdings and invest heavily in areas like future technologies and innovation, such as electric excavators, battery packs, and hybrid fuel cells to gain a competitive edge among the top fi ve heavy equipment manufacturers in the world. PWC remains bullish on M&A activity during the second half of 2021. According to its annual global CEO survey 2021, the majority of CEOs have a sharp focus on M&A strategies to accelerate growth, gain scale, and digitise to reshape their businesses. The biggest M&A deal so far in this heavy equipment industry this year is the $1.08 billion acquisition of Euro Auctions by Ritchie Bros. The world’s largest industrial auctioneer has a history of making strategic acquisitions for geographic expansion and digital transformation. Since 1999, Ritchie Bros. has acquired over ten rival companies and service providers in North America and Europe, which has enabled the company Bros. to off er multichannel platforms and accelerate its transition to an end-to-end asset management and disposition solutions provider. Prior to the Euro Auctions’ deal, Ritchie Bros.’ largest acquisition was IronPlanet in 2017, worth approximately $758.5 million. The company’s most recent acquisition before Euro Auctions was Rouse Services, a leading provider of data intelligence and performance benchmarking solutions. The acquisition of Euro Auctions marks a new era for Ritchie Bros., giving the company unprecedented market dominance in the EMEA region and a monopoly in several international markets. The cover story in this issue explores the strategic rationale for the acquisition, the Dubai auctions calendar for 2022 and how new formats, partnerships and services will drive growth in the MEA region. T he upcoming Euro Auctions sale in Dubai on 27 September 2021 is attracting international consignors and buyers from not only across the Middle East, but from Europe, North Africa, Asia and as far as the Pacifi c Rim as a result of the company's targeted marketing programme that reaches buyers and consignors in 150 countries around the world. Since the Covid lockdown and a slowdown in manufacturing, OEMs and main dealers have been running low on stock, with delivery times stretching into 2022. With a burgeoning reputation for selling good, late, low hours equipment and machinery, the Euro Auctions team aims to source more consignments of unused machinery and vehicles in Dubai. The auctioneer is amassing a fl eet of new and unused excavators and commercial vehicles for the next sale at its Dubai site in the Jebel Ali Free Zone, with the message to buyers: 'we have great stock at this sale' and to sellers, 'we still have room for more'. With a fl eet of over 40 unused Iveco tractor units, including multiple units of tractor heads, tippers and cab vehicle, this consignment should attract a great deal on interest not just in the Middle East, but with loyal Euro Auctions buyers globally. In addition, it is expected that there will be further interest in a larger mixed fl eet of multiple unused excavators, which include Hyundai, Komatsu, Doosan, and Volvo. Special Interest Lots From the lots already consigned to this sale, there are many specialist items that bidders will have interest in, including several big-ticket items, as well as consignments of unused machines. Commercial vehicles (unused) • Iveco – SC430G 38x7 4x2 Tractor Head (multiple vehicles available) • Iveco – AD380T 38H 6x4 (multiple vehicles available) • Iveco – AD380T 38H Tipper (multiple vehicles available) • Iveco – ML 180E28 6x2 Chassis Cab (multiple vehicles available) • Iveco - AD380T38H 6X4 Chassis Cab (multiple vehicles available) • 2007 MAN TGA33.400 6x4 Prime Mover (multiple vehicles available) • 2018 Volvo FMX370 6x4 5000 Gallon SST (multiple vehicles available) Excavators • Unused 2021 Hyundai R210 (multiple machines available) • Unused 2021 Hyundai R245R (multiple machines available) • Unused 2021 Komatsu PC210LC1-10 (multiple machines available) • Unused Hyundai R210 (multiple machines available) • Unused Doosan DX350LCA (multiple machines available) • Unused Volvo EC200D (multiple machines available) • Unused Kubota KX 161 – 3SZ (multiple machines available) • 2008 – CASE CX350 (multiple machines available) • 2011 – CAT 349D (multiple machines available) • 2019 – CASE CX 220C (multiple machines available) Dozers • 2012 CAT D8R • 2012 Volvo G990 • 2008 Komatsu GD705A-4 • 2007 Komatsu D155A-2 • 2005 CAT 14H Bidder numbers and registrations have always been high at Euro Auctions, Dubai, but during COVID have been increasing. Despite strong opposition outside the region, bidding from local buyers has been stronger, with the home market succeeding in acquiring quality machinery. Derek Bleakley, Euro Auctions Dubai, said: "Since the advent of Covid we have seen a continued infl ux of new consignors and new registered bidders at our Euro Auctions site in Dubai. However, in the last 12 months our staff have really engaged with consignors with quality machinery that are eager to sell, and this has been much appreciated. With a lack of new machinery coming onto the market from OEMs and main dealer inventory depleting, we are seeing consignors capitalising on the appetite of the market, with buyers delighted with the quality of machinery we amassing for each Euro Auction sale." 6 PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comSEPTEMBER 2021 NEWS NEW AND UNUSED MACHINES WILL TAKE CENTRE STAGE AT EURO AUCTIONS'DUBAI SALE ON 27 SEPTEMBER 2021UPCOMING DUBAI, UAE AUCTION 27th September @ 9.00am PO Box 263536, Jebel Ali Free Zone | T: +971 4884 6880 www.euroauctions.com INTERESTED IN SELLING? CONTACT US: 2008 Case CX350 - choiceUnused Hyundai R210 - choice 2007 Komatsu D155A-22012 Volvo G990 2011 Doosan DL3002008 Case 821C Unused Volvo EC200D 2008 Case 921C2012 Merlo P50.18HM 13-15 Deici Turbo Powershift - choice 2014 Hyundai Accent Unused Apache HH30Z - choice 2014 Zoomlion RT60 Milad Akhtiar: + 971 5666 55832 STOCK ADDED DAIL Y! Unused Case SR130 2019 Case CX220C - choice 2015 Dynapac CA270D Rami Aljamal: + 971 5063 35688Richard Sweatt: + 971 5581 30321 Kareem Dessouki: + 971 5043 92214M yCrane (my-crane.com), a global business-to-business (B2B) digital platform, allows users to submit details of their lifting requirements in order to receive personalised quotes from a range of registered crane providers. MyCrane removes the need for users to contact multiple equipment providers. Instead, users are requested to complete an online request form which has been carefully designed to ensure they receive directly comparable quotations. The platform is suitable for cranes between 6 and 750 tonnes capacity. Crawler, mobile and tower cranes can be requested on the site. The developers are working on adding new crane types such as fast assemble tower cranes, gantry cranes and mini cranes. The website has been developed by entrepreneur and industry professional Andrei Geikalo, a former commercial director at Mammoet Russia. Geikalo explains: “MyCrane was born out of the desire to change the existing outdated and inconvenient methods of procuring crane services, and to make life easier for those who require lifting services. At present, crane rental is a manual, old-fashioned process that takes far too much time. In launching the service, we have combined the latest digital technology with our long industry experience. I have personally been involved in countless heavy cargo and lifting projects; so, I know only too well how useful our service will prove to be. With MyCrane, there are no more phone calls or unclear quotations to decipher - just easy-to-understand quotes delivered direct to your inbox. And when you need to change your quote, simply amend your online request at the MyCrane website and our equipment providers will be back in touch.” MyCrane, which is headquartered in Dubai, UAE, operates on a franchise model. The service is already available in Russia and will soon be launched in key international markets including the US, Canada, UAE, Saudi Arabia, Turkey, Germany, the Netherlands, South Korea, Thailand, Vietnam and Singapore. In addition to lifting services search, MyCrane off ers a number of other tools for the crane industry, including a marketplace and support services such as engineering and legal consultancy. "In time, we will off er additional features including engineering and design services and legal support. We believe MyCrane will set a new standard for the lifting business - making crane rental easier, quicker and more transparent,” says Geikalo. 8 PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comSEPTEMBER 2021 NEWS MY-CRANE.COM AIMS TO SIMPLIFY CRANE RENTAL PROCUREMENT1325+250+700+ 350+450+ 20+ Projects CranesAWP’sClientsYears Cranes Spider Cranes is a Mobile Crane and Aerial Work Platforms (AWP) rental provider in the Middle East which offers cost-efficient and versatile lift engineering solutions to the petrochemical, civil engineering, construction, industrial, utilities, aviation, marine and other industries and clients. Training Center Dubai, UAE Dubai Industrial City, Saih Shuaib-3 P.O. Box 71240 Tel: +971 4 584 7551 Tel: 800-LIFTING : 052-LIFTING Falaj Al Qabali P.O. Box 300 Postal Code 322 Tel: +968 2 675 3112 Tel: 800-LIFTS : +971 52-LIFTING Abu Dhabi, UAE Area P.O. Box 34983 Tel: +971 2 550 4988 Tel: 800-LIFTING : 052-LIFTING Skilled WokforceNext >