Sumitomo fully acquires LBX Company
| May 10, 2010 |
CNH today announced the sale of its interest in LBX Company LLC to S.C.M. (America), Inc., an affiliate of Sumitomo (S.H.I.) Construction Machinery Co., Ltb. As a result of this transaction, LBX is now wholly owned by Sumitomo.
“The decision to sell our interest in LBX is a continuation of the strategy we began in 2009 to consolidate back office brand management and streamline our industrial footprint,” said Jim McCullough, CEO and president of CNH Construction, in a written statement from Case. “This allows CNH to concentrate efforts on our key construction brands and strengthen the foundation for our brands continued growth as we continue to take advantage of market opportunities.”
The existing global supply alliance between SCM and CNH Global will remain intact.
LBX was originally formed as part of a global alliance between SCM and Case Corporation, and holds the manufacturing rights to SCM’s excavator products in North and Latin America. LBX has been marketing and selling Sumitomo excavators, forestry, material handling and demolition products under the Link-Belt excavator brand name since the company’s formation.
“This acquisition underscores SCM’s dedication to LBX and the Link-Belt excavator brand, and will contribute greatly to our success and expansion throughout North, South and Central America,” stated Robert Harvell, CEO of LBX Company, in a written statement from LBX. “Over the years, our long-term relationship with SCM has been built on a solid foundation of providing superior product quality, innovative designs, and dedicated commitment to our dealer network and customers.”
“We believe that this acquisition will allow both LBX and SCM to achieve our common long-term global growth strategies,” said Kensuke Shimizu, president of Sumitomo Construction Machinery.