Terex Corp. has completed the sale of its Material Handling and Port Solutions business to Konecranes Plc for $595 million and €200 million in cash and 19.6 million newly issued class B shares representing a 25-percent interest in Konecranes.
The final transaction consideration is subject to post-closing adjustments for cash, debt, working capital, MHPS actual 2016 EBITDA and the closing of the sale of the Stahl CraneSystems business.
“We believe that the Konecranes-MHPS combination represents compellilng industrial logic that will deliver significant value to Konecranes customers, team members and shareholders, including Terex,” said John Garrison, Terex president and CEO. “The sale of our MHPS business is a major milestone on our journey to become a more focused, high-performance enterprise. We are committed to delivering improved profitability and return on capital across Terex as we implement our strategy of focus, simplify, and execute to win. Also, we will move forward over the coming weeks with our planned debt reduction, significantly reducing our interest expense and leverage as we enter 2017.”