Cramo and Rentakran terminate Russian joint venture

Cramo and Russian crane rental company ZAO Rentakran have terminated their joint venture agreement, with Cramo taking over full ownership of the rental operations that it has established at Rentakran depots over the past 15 months.

A Cramo spokesman told IRN that the joint venture had started well and that Cramo now wanted to expand the operation at a faster pace than Rentakran. He added that the dual branding in Russia - with both Cramo and Cramo Rentakran operations - had not been ideal and that Cramo favoured a single-brand strategy.

Cramo and Moscow-based mobile and tower crane rental firm Rentakran formed Cramo Rentakran in September 2007, owned 75% by Cramo and 25% by Rentakran. Under the joint venture, Cramo Rentakran established general equipment rental operations at three Rentakran locations, in Moscow, Yekaterinburg and Krasnodar.

The original agreement gave Cramo the option of acquiring 100% of the joint venture in Spring 2011, but the two companies have agreed that Cramo will acquire 100% of these general equipment operations now, with the venture renamed Cramo. Cramo did not say how much had been paid for the 25% shareholding.

ZAO Rentakran will continue to operate its mobile crane and tower crane rental operations from its original depots. Cramo said that it had agreed to continue to cooperate with Rentakran.

Cramo operates seven depots in Russia, located in Saint Petersburg, Moscow and Yekaterinburg.