On the same day that Fecon LLC announced it had purchased the Vermeer forestry mulcher product line, Vermeer announced it has made a minority equity investment in a leading supplier of compact articulated loaders.
On February 1, Fecon announced it has acquired Vermeer’s forestry mulcher products - including the model FT100 and FT300 mulching tractors – as well as established a global distribution agreement with Vermeer on a controlled basis throughout 2021. The agreement will give Vermeer dealers access to a product line that incorporates the combined technologies of both companies.
“Adding Fecon engineering and technology will make it easier for customers to buy the equipment best suited to their needs,” stated Bob Dieckman, CEO, Fecon LLC. “With their extensive coverage and high standard of customer support, as well as the professional and strategic Vermeer sales organization, we are certain that both organizations will benefit from the partnership.”
According to Fecon, the distribution strategy will leverage the size and scope of Vermeer’s dealer network by focusing on specific market segments with differentiated product needs. It will start the process with a select global group of Vermeer dealers in 2021, strategically specifying products and expanding its methodology from there. Fecon will assume production and support of the mulching product line based from its Lebanon, OH factory.
Doug Hundt, president of Industrial Solutions at Vermeer, sees the move as a win for both companies. "Fecon’s forestry innovation and product lineup is a great complement to our equipment portfolio," he stated. "With a lineup of products that support the land clearing, utility right-of-way and fire mitigation markets, their mulching attachments and tractors will give our dealers a broader portfolio to support those customers we are already working with in those markets."
Investment Expands Articulated Loader Position Globally
In a separate announcement, Vermeer indicated it has purchased a minority equity investment in compact articulated loader manufacturer, MultiOne. The investment comes a year after Vermeer entered an exclusive distribution agreement with the company to supply Vermeer-branded loaders through Vermeer dealers across North America and the Caribbean.
The initial agreement announced in early 2020 included all MultiOne compact articulated loader models, which range from 933- to 1,590-lb. operating capacities and feature a telescopic boom. The Vermeer models are manufactured at MultiOne’s facility in Vicenza, Italy, and up to this point had been made available with attachments, a full line of parts and service at Vermeer dealerships in the select markets.
According to the latest announcement, distribution of the Vermeer-branded loaders will expand to Vermeer dealers worldwide beginning in 2021. Hundt sees it as an opportunity to take the partnership with MultiOne to the next level. “The demand for compact loaders is growing worldwide, and this puts Vermeer in a great position with a lineup of proven products, attachments and dealers to help our customers reduce their labor needs and get more important work done," he said.
Global holdings company, Lifco, will assume majority ownership of MultiOne. Its main operations and manufacturing will continue in Vicenza under its current leadership. MultiOne will also continue to distribute its own branded models through its existing distribution partners outside of North America.