Terex Corporation has announced plans to exit its aerial segment and merge with Rev Group, a Brookfield, Wisconsin-based specialty manufacturer of fire trucks, ambulances, terminal trucks, industrial sweepers and recreational vehicles.
Terex says it is assessing the sale or spin-off of its aerial business, which is sold under the Genie brand, to “reduce its exposure to cyclical end markets.” The company reported net sales of $537 million for its aerials segment in the third quarter, a 13.2% year-over-year decrease, as North American rental customers focused primarily on fleet replacement rather than expansion.
The merged companies will focus on the emergency, waste, utilities, environmental and materials processing equipment markets, which offer “low cyclicality, resilient demand and long-term growth profiles,” according to the joint announcement.
The merger will occur as a share swap, in which Rev Group shareholders will receive 0.9809 of a share of the combined company and $8.71 in cash for each Rev Group share. Upon closing, Terex shareholders will own approximately 58%, while Rev Group shareholders will own approximately 42%, of the combined company's fully diluted shares.
The transaction is expected to close in the first half of 2026. Terex CEO Simon Meester will serve as president and CEO of the combined company. The board will consist of 12 directors, of which seven will be from the Terex board and five from the REV Group board.
"This transaction represents a transformative step for both companies. By combining our complementary portfolios and leveraging our collective strengths, we are creating a large-scale, diversified industrial leader well-positioned to capitalize on long-term secular growth trends,” Meester said. “The transaction will unlock significant value for both Terex and REV Group shareholders and creates exciting opportunities for our team members and customers by strengthening our ability to invest in the combined business, innovate and deliver quality solutions."
"Joining forces with Terex is a natural evolution of our strategy of building a stronger, more profitable and scaled company by bringing together two highly respected organizations with shared values and a commitment to innovation, operational excellence, and customer success,” added Mark Skonieczny, CEO of Rev Group. “We are beginning an exciting new chapter that will generate meaningful value for our shareholders, customers and employees.”
The combined company, which will continue to trade under the TEX symbol on the New York Stock Exchange, is expected to have approximately $7.8 billion in net sales and combined Adjusted EBITDA margin of approximately 11% as of year-end 2025.
Terex Streamlines Portfolio with Recent Acquisitions and Sales
The announcement follows a string of recent changes to Terex’s portfolio. The company sold its tower crane and rough-terrain crane business to Raimondi Cranes, based in Milan, Italy, in September. The sale did not include Terex’s Franna pick-and-carry cranes.
In October, Terex completed the acquisition of Environmental Solutions Group, a manufacturer of solid waste and recycling equipment. ESG was formerly owned by Dover Corporation and sold for $2 billion.
Terex Segments and Brands
Terex currently operates in three primary segments: aerials, environmental solutions and Material Processing.
Terex’s Aerials segment provides aerial lifts and material handling equipment under the Genie brand.
Terex Materials Processing is a portfolio of brands that serve five key verticals—aggregates, environmental, concrete, handling and lifting. Brands in each vertical include:
- Aggregates: Powerscreen, Finlay, Magna, Evoquip, Terex MPS, MDS, Terex Washing Systems, Prostack, Marco
- Environmental: Ecotec, CBI, Terex Recycling Systems, ZenRobotics, Green-Tec
- Concrete: Advance, ProAll, Bid-Well
- Handling: Fuchs
- Lifting: Franna
The Environmental Solutions Group offers equipment and technology solutions for the waste industry, as well as utility equipment. Waste brands include Environmental Solutions Group, Heil, 3rd Eye, Marathon, Soft-Pak, The Curotto-Can, Parts Central and Bayne. Terex Utilities provides aerial devices and digger derricks for the electric utility industry under the Hi-Ranger product line.
Rev Group Segments and Brands
Rev Group designs and manufactures specialty vehicles, including fire apparatus, emergency vehicles and commercial infrastructure vehicles. Segments and brands include:
- Aerials, pumpers, AARFs, rescue and wildland apparatus: E-One, Ferrara, KME, Spartan Emergency Response, Smeal, Spartan Fire Chassis, Ladder Tower
- Emergency vehicles: Horton, AEV, Road Rescue, Wheeled Coach, Leader
- Commercial infrastructure vehicles: Capacity Trucks, LayMor
- Recreational vehicles: American Coach, Fleetwood RV, Holiday Rambler, Renegade RV, Midwest Automotive Designs
