Goldman, China's Zoomlion win Cifa bid

SHANGHAI (Reuters) - China's Changsha Zoomlion Industry Science and Technology Development said on Wednesday it had won a joint bid with Goldman Sachs and two other investors to buy Italy's Compagnia Italiana Forme Acciaio SpA, or Cifa, for 271 million euros ($421.9 million).

Heavy machinery maker Zoomlion (000157.SZ) will pay 163 million euros for a 60 percent stake in the Italian construction machinery maker, while Goldman (GS.N), Mandarin Capital Partners and Chinese private-equity firm Hony Capital would hold the remaining 40 percent, the company said in a statement to the Shenzhen Stock Exchange.

Many Chinese machinery makers are building up their presence overseas in hopes of eventually competing with global leaders such as Caterpillar (CAT.N). The Chinese government is also encouraging domestic companies to invest abroad.

Zoomlion will use $50 million of its own cash and borrow $200 million from the Hong Kong branch of Britain's Barclays Bank to fund the purchase of Cifa, which is being sold by Italian private equity company Magenta and eight other shareholders.

Zoomlion expects the acquisition to help it expand sales overseas. Zoomlion's domestic rival Sany Heavy Industry Co (600031.SS) said earlier this year it plans to invest more than $100 million in its first plant in the United States, as it expands internationally.

(Reporting by Samuel Shen; Editing by Jonathan Hopfner)