Bucyrus Buying Terex Mining

Terex Corp. announced that it has signed a definitive agreement to sell its mining business to Bucyrus International Inc., South Milwaukee, Wis., for $1.3 billion in cash. The products to be divested by Terex in the transaction include hydraulic mining excavators, electric drive mining trucks, track and rotary blasthole drills, and the highwall miner, as well as the related parts and aftermarket service businesses, including the company-owned distribution locations. Brands include as O&K, Unit Rig, Reedrill, Superior Highwall, Halco, and Hypac.

The transaction, which is subject to customary regulatory approvals, but not board approvals, is expected to close in the first quarter of 2010. Combined, the two companies would have about 10,000 employees in 100 locations. As a result of the acquisition, Bucyrus plans to add manufacturing and office jobs in South Milwaukee, where both the Bucyrus and Terex product lines will be managed.