The Transformation of Cargotec: Selling MacGregor to Triton
Cargotec’s Strategic Move
Cargotec, a leading manufacturer of cargo handling equipment, has announced the sale of its subsidiary MacGregor to investment firm Triton. This deal marks a significant step in the company’s transformation process.
Details of the Deal
- The sale is expected to be completed by no later than July next year.
- The transaction includes a debt-free purchase price of 480 million euros.
- Cargotec anticipates recording a tax-exempt sales loss of approximately 200 million euros in the fourth quarter of this year.
Impact on Cargotec’s Transformation
Following the sale of MacGregor, Cargotec will retain Hiab, its subsidiary specializing in truck-mounted cranes. The company plans to rebrand itself as Hiab next year, with the name change expected to take effect in April.
This divestment is part of Cargotec’s ongoing transformation, which began with the separation of Kalmar, its container and heavy cargo handling equipment division, earlier this summer.
CEO’s Perspective
Cargotec’s CEO, Casimir Lindholm, views the sale of MacGregor as a pivotal milestone in the company’s value creation strategy. He emphasized the importance of unlocking shareholder value by spinning off Cargotec’s business units into independent entities.
Lindholm is set to depart from the company once the transformation project is completed. The CEO transition is expected to coincide with the rebranding of the company to Hiab in April, with Scott Phillips poised to take over as the new CEO.
Future Plans
Proceeds from the MacGregor sale will be used to accelerate Hiab’s growth through innovative initiatives and strategic acquisitions. Cargotec’s board is also considering distributing a portion of the funds as an extra dividend to shareholders.
Final Steps
The completion of the deal is contingent on regulatory approvals and other closing conditions.
Conclusion
The sale of MacGregor to Triton represents a significant milestone in Cargotec’s transformation journey, signaling the company’s commitment to unlocking value and driving growth in its core businesses.
FAQs
What is the purchase price for MacGregor?
The debt-free purchase price for MacGregor is 480 million euros.
Who will succeed Casimir Lindholm as CEO of Cargotec?
Scott Phillips, the current CEO of Hiab, is set to take over as the new CEO of Cargotec.