Terex Divests India-Based Compact Construction Business
Terex Corp. has agreed to sell its India-based compact construction business to Manitou BF. Manitou manufactures a wide range of compact construction and material handling equipment. Terex’s India-based unit – Terex Equipment Private Limited – manufactures and sells backhoe loaders, wheel loaders and skid-steer loaders.
The sale is subject to customary closing conditions and is expected to be finalized in the first half of 2017.
“We are pleased to enter into this agreement with Manitou,” said John Garrison, Terex president and CEO. “Manitou is a strong strategic buyer with the resources and desire to further grow the business as an industrial base for Asia and emerging markets. For Terex, the sale of TEPL represents the disposition of the last significant asset held for sale in Terex’s former Construction segment. This is an important milestone in executing on Terex’s commitment to focus our portfolio on those product categories where Terex has a significant presence in the market and that can provide the greatest returns for our shareholders.”
Terex has reduced its product portfolio to focus on aerial work platforms, cranes and material processing products. In 2016, Terex completed the sale of its German compact construction business to Yanmar for $60 million in case, including a manufacturing facility and a parts distribution center in Germany. In January, Terex completed the sale of its Material Handling & Ports Solutions business to Konecranes. In 2014, Terex sold its rigid and articulated hauler business to Volvo CE for $160 million.
About the Author
Michael Roth
Editor
Michael Roth has covered the equipment rental industry full time for RER since 1989 and has served as the magazine’s editor in chief since 1994. He has nearly 30 years experience as a professional journalist. Roth has visited hundreds of rental centers and industry manufacturers, written hundreds of feature stories for RER and thousands of news stories for the magazine and its electronic newsletter RER Reports. Roth has interviewed leading executives for most of the industry’s largest rental companies and manufacturers as well as hundreds of smaller independent companies. He has visited with and reported on rental companies and manufacturers in Europe, Central America and Asia as well as Mexico, Canada and the United States. Roth was co-founder of RER Reports, the industry’s first weekly newsletter, which began as a fax newsletter in 1996, and later became an online newsletter. Roth has spoken at conventions sponsored by the American Rental Association, Associated Equipment Distributors, California Rental Association and other industry events and has spoken before industry groups in several countries. He lives and works in Los Angeles when he’s not traveling to cover industry events.