Terex Corp. Will Sell Truck Business to Volvo for $160 Million
Terex Corp. announced that it will sell its truck subsidiary to Volvo Construction Equipment for $160 million in cash.
Terex’s truck business manufactures and sells off-highway rigid and articulated haul trucks. The deal is expected to close in the first half of 2014 and includes Terex’s manufacturing facility in Motherwell, Scotland.
“The addition of a well-respected range of rigid haulers extends the earthmoving options for customers involved in light mining applications at a time of renewed confidence in the sector. The addition of TEL’s articulated hauler range will enhance our position in this segment, particularly in high-growth markets,” Volvo CE president Pat Olney said in a statement.
Terex, based in Westport, Conn., manufactures construction equipment and provides port services.
“Trucks no longer fit within our changing portfolio of lifting and material handling businesses. I am confident that the truck business will benefit by joining a company sharing similar competencies and offering complementary products and services,” Ron DeFeo, Terex chairman and CEO, said in a statement.
