12.02.2013

Terex sells roadbuilding assets

Terex has sold its roadbuilding operations in Brazil and certain mobile roadbuilding product lines in the U.S.A to the Fayat Group (Bomag and Marini).

Product lines being divested include asphalt plants and pavers manufactured in Porto Allegre, Brazil, and assets for the asphalt paver, reclaimer stabilizer and material transfer product lines which are currently manufactured in Oklahoma City. The transaction is anticipated to close within the next six weeks or so.

Terex will book charges against fourth quarter 2012 results for losses in connection with the assets being sold, likely to be in the region of $15 million. Terex will continue manufacturing the product lines in Oklahoma City that are not affected by this transaction.

Chief executive Ron DeFeo said: “The decision to exit most of our roadbuilding product lines is another step in the repositioning of Terex. We continue to focus on improving our Construction segment performance as well as the company’s overall returns on invested capital, and this transaction is part of that process.”