Terex signed an initial agreement to acquire Fantuzzi for EUR215m (USD306m) in August 2008.
The deal progressed through regulatory approval in the latter half of 2008, receiving approval from the European Commission on 19 November. Days later, Terex told the US financial regulator, the SEC, that a ‘material adverse change’ may scupper the deal. Terex said it was requesting more information from the Italians.
On 15 December, Terex told Fantuzzi that it was cancelling the agreement; it informed the SEC of the cancellation on 19 December. Fantuzzi responded by saying that, as far as it was concerned, the deal was still in place, and threatened arbitration proceedings (and potential legal action) against Terex.
However, at the end of the first quarter of 2009, Terex resuscitated its interest in acquiring Fantuzzi, and has now secured a deal, which is valued substantially below the initial price agreed.
The deal also signifies the development of Terex’s port equipment operations beyond reachstackers.
Fantuzzi’s product lines include ship-to-shore, rail and rubber tired gantry cranes, straddle carriers, reachstackers and forklifts and mobile harbour cranes.
“We are quite pleased that Fantuzzi and Noell and their team members are now part of the Terex Cranes family,” said Rick Nichols, president of Terex Cranes.
“Fantuzzi and Noell are unquestionably leaders in the design, manufacture and service of port equipment, and although the global economy is slow today, the longer term prospects for intermodal transportation remain very attractive and substantial in scope. This acquisition also helps diversify our cranes business, and expands the product offering of Terex Cranes to the port industry beyond our current stacker product line.”
