09.04.2013

Atlas and Effer move closer

Effer and Atlas have extended their UK co-operation agreement to other dealers in the Atlas network.

All Atlas crane distributors will now have the opportunity to add Atlas branded Effer cranes to their product ranges, following the success of the agreement launched in the UK in October 2012.

Effer cranes will be sold, serviced and supported by Atlas dealers in a number of different countries with particular emphasis on Germany and the Middle East, where Atlas has a strong network and reputation.

At Bauma Atlas, based on the Terex stand, will unveil the new Atlas AK 955, built by Effer but in Atlas colours.
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The Atlas AK955 built by Effer

Atlas owner Fil Filipov said: “This new partnership represents a natural and logical move for Atlas. By complementing the existing Atlas crane range focused mainly on the building sector, it allows us to use our loader crane experience and expertise to great advantage and at the same time put our German network at the disposal of Effer customers with a new opportunity in the large crane segment for the Atlas customer.”
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Lorenzo Cipriani, Effer’s owner added: “Effer and Atlas are ideal partners and complement each other’s strengths. Atlas has an optimal service organisation in the UK and Germany; Effer builds high-quality knuckle boom cranes which are focused outside the classic building sector but with a specific expertise on long reach cranes as needed in the German roofing supply business. Both companies together will bring a new dimension to the marketplace with the strongest product portfolio from one to 300 tonne metres and the strongest after-sales support in the German marketplace and elsewhere in the world.”

Effer cranes will be sold by Atlas in Germany and other global markets in the familiar Atlas orange colour and brand but will continue with the Effer yellow and Effer brand in UK.

Vertikal Comment

This is a pragmatic move that offers advantages for both companies in what is still a tough and highly competitive market. Outside of the top three producers, loader crane producers are struggling to turn a profit, this move will help Atlas strengthen its network and cover a larger portion of its costs at its wholly owned distribution operations, while Effer benefits from the increased volumes from markets where it is relatively weak.

The co-operation could also provide the two with exit strategy opportunities, in that together they offer a prospective buyer a larger slice of the market and the potential for ‘synergy’ cost savings.

With Palfinger and Sany now working closer together we may see a Chinese move on the loader crane industry similar to that which has occurred with concrete pumps? Alternatively perhaps Terex might become interested in the market again?

Interesting times