Terex buy ASV

Discussion in 'Heavy Equipment & Pavement' started by meets1, Jan 15, 2008.

  1. meets1

    meets1 LawnSite Gold Member
    Posts: 3,781

    I think I have that right. $18 a share for around $488 million. Everyone seems to keep consolidating with each other. Wonder if that is always better?
  2. ksss

    ksss LawnSite Fanatic
    Posts: 7,129

    That should provide for some interesting discussions.:dizzy:
  3. Tigerotor77W

    Tigerotor77W LawnSite Bronze Member
    from Germany
    Posts: 1,891

  4. Scag48

    Scag48 LawnSite Fanatic
    Posts: 6,067

    That could be bad news bears for the Cat/ASV partnership. I'm not really sure if Terex would supply Cat with those carriages after the purchase.
  5. ksss

    ksss LawnSite Fanatic
    Posts: 7,129

    Any care to forecast what this means to CAT? Especially if Terex does not chose share their undercarriage? Providing that CAT could get around patents that protect the now Terex undercarriage, building their own suspended undercarriage may a problem. That says nothing of the fact that the costs of the undercarriage were shared between ASV and CAT machines spreading the R&D among more units. I see no reason for Terex to share as it would be the same as feeding the competition. They will likely paint the ASV white I guess and you will likely the two lines separate from using common components.

    I guess that time will tell what this means to everyone, including me as a VTS owner.
  6. J&B Ent.

    J&B Ent. LawnSite Member
    Posts: 4

    I was told by my local equipment dealer that Cat has been working on its own design any way.
  7. mrusk

    mrusk LawnSite Gold Member
    Posts: 3,260

    Says cat still owns 23%
  8. bobcat_ron

    bobcat_ron LawnSite Fanatic
    Posts: 10,101

    Just goes to show the ASV system haters out there, Terex wants into the market bad!
  9. Construct'O

    Construct'O LawnSite Bronze Member
    from Sw Iowa
    Posts: 1,387

    If Terex don't do any more changes to ASV then they did the,old Euclid TS14 scrapers other then paint them white,it will be a joke!!!!!! At least they did start using the cummins engine,but other then that they still look the same they did 30+ years ago.

    Yeah i'm old!

    Anyway the same goes for there dozers which was a take over of the Dresser( IH),no improvement there.They gave up on the old Terex(Euclid) dozers run it into the ground.

    So i wouldn't be getting to excited about ASV advancing much now! I think the Cat owners will benefit more from this merger,not short term,but on down the road.

    Good luck you ASV owners !
  10. Digdeep

    Digdeep LawnSite Bronze Member
    Posts: 1,840

    This is a very interesting development. I read all of the press releases today, called my ASV dealer, and replayed the Terex webcast. This is how I understand it all based on my on the press releases, dealer feedback, and Terex's President in the webcast they held (if I have this correctly)- CAT has agreed to the deal and will no longer own 23% of ASV (Terex will end up owning 100%), CAT will continue to purchase ASV undercarriages, Terex will be looking into possibly expanding ASVs product range and look to possibly expand their product range with ASVs technology, and finally Terex expects ASV earnings to increase threefold over the next few years due to introduction into new markets (Europe) and new products. The deal is supposed to be finalized sometime in March if the shareholders approve it. All I can say is that it should be interesting. Terex is pretty darn big- almost $9 billion compared to ASV.

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