Terex Corporation has agreed to sell its truck business to Volvo Construction Equipment for cash proceeds of approximately $160 million.
The truck business manufactures and sells off-highway rigid and articulated haul trucks.
The manufacturing facility in Motherwell, Scotland is included in the transaction.
The sale is targeted to close in the first half of 2014.
“The sale of the Truck business reflects our strategy to manage our portfolio of businesses and focus on those businesses that provide the greatest returns for our shareholders,” says Ron DeFeo, Terex Chairman and Chief Executive Officer. “We recently announced the initiation of quarterly cash dividends to our shareholders and a share repurchase program and the proceeds from this sale aid our efforts to improve our financial efficiency and implement these programs.”