Terex sells off Tatra to concentrate on its core

Terex Corporation has sold 80.5% of its ownership interest in Tatra to Blue River for approximately US $26.2 million in cash, plus repayment of all inter-company debt owed to Terex by Tatra, of approximately $31.6 million.

Additionally, Blue River will assume all third party debt of Tatra, which totals approximately $22 million.

Terex has previously identified Tatra, a Czech-based manufacturer of heavy duty trucks, as a non-essential part of its future operations.

The buyer, Blue River, is a Czech-based consortium of four international private investors, led by a member of Tatra’s Supervisory Board.

“Terex’s management team regularly evaluates current operations and future opportunities to determine the most appropriate allocation of resources,” said Ronald M DeFeo, chairman and chief executive officer, Terex.

“After detailed analysis, Tatra was identified as non-core and we commenced a process to realise maximum value for our investment in Tatra.

“Tatra’s employees build terrific products, but our shareholders expect management to focus resources on opportunities that best fit the overall goals of the company, and Tatra no longer fits with Terex’s strategy.”

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