Terex completes Demag Cranes takeover

News 17 Aug 2011 by WCN Editorial

The majority takeover of Demag Cranes AG by Terex Industrial Holding AG is complete

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All shares tendered to Terex by shareholders of Demag Cranes AG following the voluntary public tender offer were transferred on 16 August 2011 to the new majority owner, which as of then held almost 82% of Demag Cranes.

As reported last week, the transaction has gained regulatory approval in Europe. Terex had made the tender offer on 19 May 2011 and increased the offer price from E41.75 to E45.50 per share on 16 June 2011, representing a 29.3% premium on the three-month volume-weighted average share price before announcement of the tender offer.

The Management Board and Supervisory Board of Demag Cranes AG had recommended that shareholders should accept the improved offer.

Terex had previously pledged far-reaching autonomy to Demag Cranes under a Business Combination Agreement and provided extensive guarantees to safeguard locations and jobs.

Aloysius Rauen, CEO of Demag Cranes AG, said: “Demag Cranes has developed superbly in the last few years and secured outstanding growth prospects for itself as the industry’s technology and innovation leader.

“We are confident that, on the basis of our clear strategy, we will be able to carry on our success story as an independent operating segment within the Terex Group and, alongside the strong partner Terex, accelerate our advance on our growth trajectory.”

Gottwald Port Technology GmbH, part of Demag Cranes, has received an order from ECT, Rotterdam for 22 type CT60 diesel-electric drive AGVs. The diesel engines of the new machines, which will replace some of the original diesel-hydraulic Gottwald AGVs supplied to ECT Delta Terminals, are fitted with EuroMot Stage IIIB engines.