Equipment report

Terex buys Environmental Solutions Group

Terex Corp., Norwalk, Connecticut, has completed its acquisition of Environmental Solutions Group (ESG) from Illinois-based Dover Corp.

ESG’s product brands include Heil, Marathon, Curotto-Can, Bayne Thinline and Parts Central, and its digital solutions include 3rd Eye and Soft-Pak. Terex says ESG’s products and services across equipment, digital and aftermarket offerings complement its business, allowing Terex to expand its customer base by offering a broader suite of environmental equipment solutions.

“We’re delighted to welcome ESG into the Terex family of businesses,” Terex President and CEO Simon Meester says. “ESG is a noncyclical, financially accretive, market-leading business that will complement and strengthen Terex’s portfolio with synergies in the fast-growing waste and recycling end market. ESG is led by a world-class management team and has a strong track record of operational excellence. We look forward to working with ESG to drive long-term, sustainable value for all our stakeholders.”

Terex says the deal will drive revenue growth, free cash flow, earnings before interest, taxes, depreciation and amortization (EBITDA) margin and earnings per share (EPS) accretion.

Julie Beck, Terex senior vice president and chief financial officer, says ESG’s EBITDA margin, including run rate synergies, is expected to add 140 basis points of margin accretion. Additionally, Terex will achieve approximately $25 million of identified synergies by 2026.

According to Terex, the all-cash transaction for $2 billion, or $1.725 billion when adjusted for the present value of expected tax benefits of approximately $275 million, is expected to be double-digit percentage-adjusted EPS accretive in 2025.

With ESG, Terex will derive 67 percent of its total revenue from North America, an increase from 61 percent based on results from the second quarter of 2024.

ESG retains President Patrick Carroll, who has led manufacturing businesses and served as president of Terex Utilities from 2001-2005.

“At ESG, our vision has always been to improve the lives of our team members, our customers and our communities,” he says. “We are looking forward to becoming part of Terex because we see it as a great cultural fit with opportunities to expand our positive impact.”

Steinert acquires MSort product line

Germany-based Steinert GmbH, which specializes in sensor sorting and magnetic separation equipment for municipal solid waste, metal recycling and mining, has acquired the MSort product line from Mogensen GmbH & Co. KG, based near Hamburg, Germany.

Along with the purchase, Steinert also has announced it is establishing a new subsidiary, Steinert MSort.

The MSort product brand has been present in the global market for more than 20 years and has focused primarily on developing sorting systems for glass recycling, the processing of industrial minerals and other applications.

The Buchholz family, which owns Steinert, says in a news release it is pleased with the establishment of a new subsidiary that can offer additional sorting solutions and have expanded the company’s portfolio to include translucency and double-sided detection using color and near-infrared (NIR).

The MSort AF, for instance, performs dry color sorting of bulk material, including glass, polyethylene terephthalate, minerals, sea salt and rock salt, in a particle range of 4 to 60 millimeters.

“The expansion of the Steinert Group’s portfolio to include sorting systems for flat and hollow glass and aggregates for sorting industrial minerals for mining are just a few examples that are a plus for us,” Steinert CEO Peter Funke says. “The MSort brand from Mogensen is strong and complements our product range excellently. We look forward to working with the colleagues and thank our owners, the Buchholz family, who have made further growth possible.”

Hans Moormann and Marcus Wirtz, managing partners of the Joest Group, which owns Mogensen, say they know the MSort product line is in good hands with Steinert.

“We are handing over the product line to a top company with a strong global sales and service network,” they say.