WESTPORT, Conn. (AP) — Diversified manufacturer Terex Corp. said Monday it agreed to buy construction equipment maker A.S.V. Inc. for about $488 million in stock.
Terex said it will make the purchase through a tender offer of $18 per share, appealing directly to A.S.V. shareholders instead of the more common method of going through the board. That price represents a premium of 46 percent to the stock's closing price of $12.29 Friday. At the end of September, A.S.V. had 27.1 million shares outstanding.
A.S.V. makes compact track loaders used in construction.
Terex expects to close the deal by the end of the first quarter, assuming holders of a majority of A.S.V. shares accept the tender offer and the purchase gets regulatory approval.