Terex Corp. last week announced that it has concluded the sale of its entire direct and indirect ownership interest of 80.5 percent in Tatra a.s. to Blue River s.r.o. for approximately $26.2 million in cash plus the repayment of all inter-company debt owed to Terex by Tatra of approximately $31.6 million. Additionally, Blue River s.r.o. will assume all third part indebtedness of Tatra, which totals approximately $22 million. Terex had previously identified Tatra, a Czech-based manufacturer of heavy duty on and off road trucks, as non-core to Terex’s future operations. The buyer, Blue River s.r.o., 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 DeFeo, Terex’s chairman and CEO. “After detailed analysis, Tatra was identified as non-core and we commenced a process to realize 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 fit with Terex’s strategy.”
