MacGregor, part of Cargotec, has entered into an agreement to acquire the major businesses from TTS Group, a global provider of cargo handling equipment and services for merchant and offshore ships for an enterprise value of EUR 87 million.
MacGregor believes the acquisition will strengthen its marine and offshore activities in key areas and add further service growth potential through the increased installed base, mainly in China through the strategic joint ventures with Chinese state owned ship building companies CSSC and CSIC.
Based on preliminary estimates, potential cost synergies are estimated to be around EUR 30-35 million on annual level and are expected to be reached within 3 years from closing.
“This acquisition is an important step in executing MacGregor’s growth strategy and providing customer-focused solutions in both merchant shipping and offshore segments. The markets are consolidating and MacGregor wants to take an active part in this development…Combining the strengths of these two companies creates exciting opportunities for innovation and technology development during a time of industry transformation. With a large installed base on over 9,000 vessels the TTS portfolio will position us even better for our service business growth,” says Michel van Roozendaal, President, MacGregor.
The acquisition is subject to regulatory approvals from competition authorities, which are expected to be received during the third quarter of 2018.
