Terex Corp. announced that it has agreed to sell its India-based compact construction business to Manitou BF (Manitou). Terex Equipment Private Limited (TEPL) manufactures and sells backhoe loaders, engages in the sale of wheel loaders and contract manufactures and sells skid steer loaders. The sale is subject to customary closing conditions and is expected to be finalized in the first half of 2017. No financial details were provided.
“We are pleased to enter into this agreement with Manitou,” said John L. Garrison, Terex president and chief executive officer. “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.”
The move reinforced Manitou Group’s ambitions for the handling market in India and, on a broader level, in Asia and emerging countries.
”This acquisition perfectly fits our strategy to reinforce our presence on emerging markets,” said Michel Denis, president & CEO of the Manitou Group. “TEPL has a solid dealer network which we will continue to further develop. TEPL produces high-quality products with a very efficient spare parts and service organization, and will be a strong industrial base for Manitou Group to develop new product ranges for Asia and emerging countries.”