Terex Corporation has agreed to sell its Demag mobile cranes business to Tadano for approximately US$215 million.
“The Demag Mobile Cranes business has been part of our company for almost two decades and produces world class products,” said John Garrison, Terex chairman and CEO. “The dedicated Demag Mobile Cranes team members have made significant contributions to Terex and to the crane industry.
”The sale is based on strong industrial logic, as the Demag Mobile Cranes business will become part of a global crane company with complementary products and capabilities. We are pleased to have entered into this agreement with Tadano, a strategic buyer who values the Demag Mobile Cranes brand, technology, distribution network and team members.”
Koichi Tadano, Tadano representative director, president and CEO, said it was a strategic acquisition with considerable scope for growth, ”The addition of the well-respected Demag brand of all terrain cranes and large crawler cranes range extends our product lines and options for customers.
“The addition of the Demag branded mobile crane product lines will enhance our global position in this segment. We believe that the Zweibrücken facilities and its global team members, as well as the current distribution partners, are valuable to the future success of the business.”
The changes do not effect the Terex Utilities business, which will continue to be manufactured at its Watertown, South Dakota facilities in the USA.
Terex’s Oklahoma City plant will continue to produce telehandlers and re-manufactured units for its aerial work platform business as well as various products for its Materials Processing segment. “Although we are exiting the OKC-based mobile cranes products, we will continue to sell parts, and offer service and support to our customers,” said Garrison.
He added that during the tranition Terex was ”committed to providing exceptional service to all of our global customers, including those affected by these changes.”
As published on KHL.com