MAN to buy stake in Sinotruk

European truck maker MAN will purchase 25% of Sinotruk, China’s largest manufacturer of heavy trucks, the Financial Times reported. MAN will pay US$790 million for the stake, making it Sinotruk’s second-largest shareholder after China National Heavy Duty Truck Corp. Nearly half of all trucks sold worldwide are sold in the "BRIC" countries (Brazil, Russia, India and China) and MAN’s acquisition of Sinotruk is part of the firm’s strategy to concentrate on growth in those markets. Last year MAN purchased Volkswagen’s truck and bus operations in Brazil outright and established a joint venture in India. MAN and Sinotruk plan to produce 50,000 units of a new heavy truck by 2015 for sale in China and for export. Sinotruk sold 100,000 units last year and has been listed on the Hong Kong Stock Exchange since November 2007. It reported a 20% decline in profit last year.