Terex Sale to Zoomlion Off, Port Solutions Sale to Konecranes Back On

With Zoomlion unable to provide a fully financed proposal for the purchase, Terex resumes sale of its Material Handling and Port Solutions group to Konecranes for about $1.3 billion

Terex Corp. said today that discussions with Chinese equipment maker Zoomlion Heavy Industry regarding the purchase of Terex have been terminated. Terex also said sale of its Material Handling and Port Solutions business (MHPS) to Konecranes for approximately $1.3 billion will proceed. 

“The Board of Directors and Management of Terex worked diligently to determine if an appropriate transaction with Zoomlion, beneficial to Terex shareholders, was achievable,” said David Sachs, chairman of the Terex board. “Unfortunately, after many months of discussions, Zoomlion was unable to provide a fully financed, binding proposal for the purchase of Terex with or without MHPS. This ends the prolonged period of uncertainty that this process has brought to Terex and its customers, team members and shareholders.”

“The sale of the MHPS business to Konecranes will now proceed,” said John L. Garrison, Terex president and CEO. “The proceeds will significantly reduce Terex’s debt levels and improve our balance sheet, providing us with the ability to buy back shares and invest in our remaining businesses. As a 25% shareholder of Konecranes, Terex will be able to share in the synergies and economic upside of the combined MHPS and Konecranes businesses.”

 

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