Acquisition of Terex Corporations compact construction equipment business

On June 20 (Mon.) (U.S. Eastern Time), Yanmar Holdings Co., Ltd. (Head Office: Osaka City; President: Takehito Yamaoka) concluded a final agreement with Terex Corporation (Head Office: Westport, Connecticut, United States; CEO: John L. Garrison; Hereinafter referred to as simply "Terex") to acquire Terex Corporation's German compact construction equipment business for approximately US $60 million. Terex carries out the production and sale of wheel loaders, midi/mini excavators, wheel excavators, and other products in Europe through this business. Included in the acquisition is the manufacturing facility located in Crailsheim, Germany and the parts distribution center located in Rothenberg, Germany.

Advertisement

This acquisition will allow us to further actively develop our business in the small to medium sized construction machinery market in Europe by collectively utilizing the sales and service networks, and industry top class product development and production knowhow of both companies.

The acquisition is expected to be completed during Autumn of 2016 after the approval of Terex's shareholders and regulating authorities and the completion of all other required procedures.

Takehito Yamaoka, President, Yanmar Holdings Co., Ltd.

"We are very happy to have concluded an agreement for the acquisition of Terex Corporation's small and medium sized construction machinery business, which possesses a strong Europe-based sales network and excellent products, including the distinguished German Schaeff series, in a move aimed at expanding the Yanmar Group's small to medium sized construction machinery business. I believe this tie-up will promote not only short term, but also the long term growth of the Yanmar's construction machinery business, by expanding the Yanmar Group's portfolio and supplementing the sales network of our French subsidiary.