Astec makes moves.
In early June, Astec announced its definitive agreement to sell substantially all of the assets and to transfer substantially all of the liabilities of Superior Industries of Morris (Minn.) Inc. to the management and employees of Superior as well as a group of local investors in Minnesota.
Superior, which has been a wholly owned subsidiary of Astec, makes stationary and portable conveyor systems and components.
The planned sate is the result of an unsolicited proposal presented to Astec by the Morris, Minn., management team and other investors based there, according to Astec.
The purchase price for the assets and liabilities of Superior is expected to be about $24.3 million. Closing is expected by the end of this month.
The purchasers have agreed to be a supplier of certain components to Astec industries Inc. for a period of one year, and Astec will also license from the purchaser certain intellectual property relating to conveyer components.
In a related development, Astec has formed Astec Mobile Screens Inc., to be based in Superior, Ill., which will be a part of Astec's Aggregate & Mining Group.
Several brand names and product lines operate within Astec's Aggregate & Mining Group, including Breaker Technology Inc., Johnson Crushers International, Kolberg Pioneer Inc., Osborn Engineered Products, Production Engineered Products Inc. (PEP) and Telsmith Inc.
"All mobile screening plants previously manufactured and marketed under the PEP and Kolberg brand names will be consolidated into Astec's new Astec Mobile Screens brand," the company states in a news release.
Inclined vibrating screens and horizontal screens offered under various Astec brands will remain branded as they are.
"This formation should provide our distribution channels with a product offering of substantial mass, with more products to came very soon," says Bob Stafford, Astec Aggregate & Mining Group vice president. "When the consolidation and transition is complete, Astec Mobile Screens will provide the largest and broadest range of mobile screening plants manufactured in the U.S."
|Printer friendly Cite/link Email Feedback|
|Title Annotation:||Equipment Report|
|Publication:||Construction & Demolition Recycling|
|Date:||Jul 1, 2004|
|Previous Article:||Several companies pledge to CMRA issues & education fund.|
|Next Article:||Peterson intros mulch coloring system.|