The head of Finnish company Konecrane said that it is pursuing its planned merger with Terex, the US-based crane maker that received an unsolicited $3.3 billion bid from China's Zoomlion Heavy Industry Science and Technology Co.

Konecranes Chairman Stig Gustavson on Wednesday questioned how Zoomlion would finance a transaction and whether it would get a deal with Terex approved by US authorities.

Terex's government and military business holds contracts with the US Defense Logistics Agency and the US General Services Administration, according to its website.

Dutch firm Royal Philips NV last week canceled a planned $2.8 billion sale of its lighting-components unit to a consortium led by China's GO Scale Capital because of resistance from the US regulator charged with vetting foreign acquisitions to protect national security, known as the Committee on Foreign Investment in the US or CFIUS.

Zoomlion said on Wednesday in a statement that it had not signed any binding agreement with Terez and was unable to confirm whether a deal would go ahead.

Zoomlion made an all-cash offer for the Westport, Connecticut-based company on Tuesday, offering $30 a share in cash or roughly double what Terex shares were trading for on Monday.

Konecranes and Terex agreed to an all-stock merger in August, to create a crane and materials-handling supplier with a combined $10 billion in sales. The enlarged group will be located in Finland and called Konecranes Terex Plc, according to a statement at the time.

Zoomlion is China's second-biggest maker of construction equipment by revenue, trailing Sany Heavy Industry Co, data compiled by Bloomberg show. The $4.4 billion company is based in the central Chinese city of Changsha, where late revolutionary leader Mao Zedong attended school.