SDC International announced recently that Terex Corporation has become a strategic shareholder in SDC. SDC will draw upon Terex’s capabilities and know-how to revitalize the Czech Republic’s off-road heavy- duty truck manufacturer, Tatra, a.s. Presently, the Czech government, through its Konsolidacni Banka and its Revitalization Agency, has control of the shares and senior bank debt of Tatra, whose revenues last year exceeded $200 million and whose assets are slightly less than $200 million.
After the acquisition, SDC will draw upon Terex’s experience in providing the technological and manufacturing know-how necessary for Tatra to become a world-class competitor within the equipment marketplace. SDC/Tatra expects to utilize Terex’s global network for Tatra’s distribution. Terex has a worldwide network of dealers in more than 1000 locations in more than 60 countries. SDC/Tatra will introduce Terex products in areas where Tatra has been a prevalent supplier, such as Russia, India, and China.
"As a strategic shareholder, we are very pleased to become a part of SDC’s acquisition of Tatra. We have been familiar with Tatra and its great product for many years. Now, with the excellent team SDC has assembled, Tatra’s future should be very bright. We expect that our involvement with SDC and Tatra will bring additional revenues to Terex without significant capital investment," said Ron DeFeo, Terex’s Chairman and Chief Executive Officer.
SDC Chairman and CEO Ronald Adams stated that "we have a first class management team, we have the necessary financing available to accomplish the acquisition, and we have now brought a world-class strategic partner for our acquisition and revitalization of Tatra."
SDC President and Chief Operating Officer Mike Srkal said, "Synergy between Terex and Tatra, specifically in their complementary product lines, and, also, in other benefits, such as joint marketing, manufacturing of components, and possible new product assembly in Koprivnice, will be great for both companies."
