Zoomlion Ends Bid for Terex | Construction News

Zoomlion Heavy Industry Science and Technology Co. Ltd. has withdrawn its proposal to acquire Terex Corporation.

After careful consideration and detailed negotiation with Terex, Zoomlion has concluded that it would not be able to agree on a price for Terex’s business, after excluding Terex's Material Handling & Port Solutions (MHPS) segment, which would also deliver appropriate returns for Zoomlion shareholders.

Zoomlion made a US $31-per-share, all-cash offer to Terex in March 2016 for the entire company.

Terex subsequently signed an agreement with Konecranes on May 16, 2016, to sell its MHPS segment. Zoomlion remained interested in Terex’s remaining business and continued its negotiation with Terex in good faith.

Following negotiations, however, Zoomlion has concluded that Terex’s expectations on the valuation do not adequately reflect the impact of the sale of the MHPS segment. Zoomlion has therefore decided to end negotiations.

Zoomlion continues to believe that the combination of Zoomlion and Terex would have created a truly global business that would have benefited customers, shareholders, and employees of both companies.

Zoomlion will keep its focus on strategic opportunities built on its existing core business to advance its long-term development, both in China and overseas.