MacGregor, part of Cargotec, has entered into an agreement to acquire the marine and offshore of TTS Group, a provider of cargo handling equipment, for EUR87m ($106.8m).
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 and it will also strengthen MacGregor’s position in China through the strategic joint ventures with Chinese state-owned shipbuilding companies CSSC and CSIC.
Based on the company’s preliminary estimates, potential cost synergies are estimated to be around EUR 30-35m on an 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. TTS complements MacGregor’s present offering and further strengthens our position. 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,” said Michel van Roozendaal, president of MacGregor.