20.02.2016

Terex suspends work on Konecranes deal

Terex has suspended all integration work on its merger with Finland's Konecranes, although antitrust and other regulatory filings will continue.

Terex is quite clear that it has made no decision to abandon the agreed merger, nor has it changed its recommendation to accept the Konecranes merger, but this is a clear indication that the approach from Chinese crane maker Zoomlion is now being treated seriously.

A statement from Terex said: "Given the uncertainties involved with the merger and proposed acquisition- from Zoomlion -, the decision was made to halt information sharing, work on integration, and synergies between the businesses, until further clarity can be had on the course of action."

Terex shares jumped on the news of the suspension but are still well below the $30 a share bid from Zoomlion, suggesting that most investors are still taking a cynical view on the deal’s success. See Zoomlion confirm Terex bid
See Zoomlion bids for Terex
See Terex and Konecranes to merge