Cargotec sells MacGregor

The MacGregor offshore crane and deck handling equipment division of Cargotec will be acquired by Triton, a European specialist investor.

The €480 million transaction will support efforts to grow the Hiab loader crane and materials handling equipment manufacturing division. With Kalmar already separated from Cargotec, this latest divestment will see Cargotec become Hiab, expected to be effective 1 April 2025, the company said.

When the name change happens, Cargotec president and CEO Casimir Lindholm, said he will step down. Hiab president Scott Phillips will then be appointed president and CEO of the renamed company. Cargotec CFO Mikko Puolakka would continue as CFO at the new standalone Hiab.

A Cargotec statement read, “After considering different alternatives, the Board is convinced that from the value creation perspective, the transaction represents the best alternative for Cargotec’s shareholders.”

The transaction is expected to close by 1 july 2025, if not before that, according to Cargotec.

Stronger performance

MacGregor sales in 2023 were €733 million on a comparable operating profit of €33 million. Cargotec said it expects to record a tax-exempt loss around €200 million in the final quarter of 2024. It will be a “goodwill impairment in items affecting comparability as a part of discontinued operations.”

Commenting on the deal Casimir Lindholm, Cargotec CEO, said, “The agreement to sell MacGregor represents the last major milestone in our project to unlock shareholder value by separating Cargotec’s businesses into standalone companies. The two-year project has progressed according to our plan and is now in its final stages. The proceeds from the transaction will boost Hiab’s ambitious growth plans through innovation and M&A. MacGregor will become a strategic asset for its new owner who will develop and put full focus on the business, which will enable further growth and profitability improvement.”

Speaking for Triton Ilkka Tuominen, an investment advisory professional, said, “MacGregor stands out due to its engineering capabilities; broad and sustainable product offering; high-quality equipment; and strong reputation. Triton looks forward to collaborating with the company and its employees to develop further on this market leading position especially by strengthening the aftermarket platform where we see great potential.”