Terex and REV Group have entered into a definitive agreement to merge and form a leading specialty equipment manufacturer.
The move will create a diversified leader in emergency, waste, utilities, environmental and materials processing equipment with attractive end markets characterised by low cyclicality, resilient demand and long-term growth profiles. With a substantial U.S. manufacturing footprint, the combined organisation will be well-positioned to benefit from domestic demand growth.
Combining the complementary portfolios will unlock significant value-creating synergies totalling $75 million of run-rate value in 2028, with approximately 50% achieved 12 months after closing. Both Terex and REV Group have demonstrated their ability to execute large integrations and deliver expected synergy value successfully.
Terex also announced that it will initiate a process to exit its Aerials segment, including the assessment of a potential sale or spin-off.
Upon the merger’s completion, Terex CEO Simon Meester will serve as President & Chief Executive Officer of the combined company, supported by a proven management team that reflects the strengths and capabilities of both organisations.
“This transaction represents a transformative step for both companies. By combining our complementary portfolios and leveraging our collective strengths, we are creating a large-scale, diversified industrial leader well-positioned to capitalise on long-term secular growth trends,” said Meester. He continued: “The transaction will unlock significant value for both Terex and REV Group shareholders and creates exciting opportunities for our team members and customers by strengthening our ability to invest in the combined business, innovate and deliver quality solutions.”
Mark Skonieczny, Chief Executive Officer of REV Group, said: “Joining forces with Terex is a natural evolution of our strategy of building a stronger, more profitable and scaled company by bringing together two highly respected organisations with shared values and a commitment to innovation, operational excellence, and customer success. We are beginning an exciting new chapter that will generate meaningful value for our shareholders, customers and employees.”
