Columbus McKinnon Corporation is to buy Stahl CraneSystems from Konecranes for around $240 million (€230 million).
The European Commission will approve Konecranes’ pending acquisition of Terex Corporation’s Material Handling & Port Solutions (MHPS) business only if Konecranes divests its Stahl CraneSystems business.
Columbus McKinnon will also assume unfunded pension liabilities estimated at $78.6 million (€74 million) as of July 31, 2016 during the divestment process.
Konecranes expects to book an after-tax capital gain of approximately $201.7 million (€190 million) upon completion of the deal.
Panu Routila, president and CEO of Konecranes, said: “[This transaction] is an important milestone in making progress toward closing the MHPS Acquisition.
"We are satisfied that we could achieve this strategic milestone in a timely manner, thereby minimising the period of uncertainty for the Stahl CranesSystems business and personnel.”
Stahl CraneSystems is a leading manufacturer of explosion-protected hoists and crane components and is well known for its custom engineering of lifting solutions and hoisting technology.
In 2016, Stahl CraneSystems’ sales outside the Konecranes Group are estimated to total approximately $143.4 million (€135 million). Stahl CraneSystems has around 650 employees around the world.
The Stahl divestment is expected to close before April 30, 2017.