SEATTLE (Recycling Monster): The Environmental Solutions Group (ESG) was acquired by Terex Corporation from Dover Corporation for $2 billion in cash, as previously disclosed.
Terex's free cash flow, EBITDA margin, EPS accretion, and revenue growth are all anticipated to significantly increase as a result of the deal. By 2026, it should be able to release cost and revenue synergies worth about $25 million. From its present level of 61%, the corporation will now receive 67% of its total income from North America. It should be mentioned that in 2023, ESG announced sales exceeding $750 million.
ALSO READ:
NY City Launched Curbside Organics Collection Program
PepsiCo Collaborates with AI Recycling Assistant Sorting System
Ownership of garbage collecting equipment brands, such as Heil, Soft-Pak, 3rd Eye, and Curotto-Can, will change as a result of the agreement.
Terex confirmed that Patrick Carroll, President and CEO, ESG will continue to lead the business unit.
Terex's only financial advisor for the deal was UBS Investment Bank. Pryor Cashman and Fried Frank served as the transaction's legal counsel as well.
ESG was warmly welcomed into the Terex family of companies by Simon Meester, President and CEO of Terex. The non-cyclical, profit-generating business of ESG will bolster and enhance Terex's holdings. The company is excited to collaborate with a market leader to create sustainable long-term value for all of its stakeholders.