NORWALK – Locally based equipment manufacturer Terex Corp. has merged with specialty vehicle maker REV Group of Wisconsin.
The stock and cash transaction, announced Oct. 29, creates a company worth approximately $9 billion, according to a press release from both manufacturers. The merger will create a diversified leader in emergency, waste, utilities, environmental and materials processing equipment with attractive end markets characterized by low cyclicality, resilient demand and long-term growth profiles.
The exchange ratio and the closing share prices for Terex and REV Group as of Oct. 28, 2025, represent an implied total enterprise value of the combined company of approximately $9 billion, according to a company statement.
Upon closing of the merger, Terex CEO Simon Meester will serve as president and CEO of the combined company, supported by a management team that will include people from both organizations.
“This transaction represents a transformative step for both companies,” Meester said. “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.”
Combining the two companies’ portfolios will unlock $75 million of run-rate value in 2028 with approximately 50% achieved 12 months after closing, the companies said.
“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,” said Mark Skonieczny, CEO of REV Group.
Terex also announced that it will initiate a process to exit its Aerials segment, including the assessment of a potential sale or spin-off.
In fact on Nov. 3, Terex announced it had completed the spin-off Terex Tower and Rough Terrain Cranes businesses to Raimondi Cranes SpA, a global manufacturer of cranes based in Milan, Italy. Included in the divestiture are manufacturing operations and facilities in Fontanafredda and Crespellano, Italy, and the Terex North America Cranes service and support operation in Wilmington, North Carolina. The transaction does not include Terex’s Franna® pick and carry cranes business based in Australia.
Under the terms of the merger with REV, which has been unanimously approved by the both boards of directors, REV Group shareholders will receive 0.9809 of a share of the combined company for each of REV share they own and $8.71 in cash ($425 million in total).
Upon closing, Terex shareholders will own approximately 58%, while REV Group shareholders will own approximately 42%, of the combined company’s fully diluted shares on a pro forma basis. Following the close, the combined company will continue to be traded on the NYSE under the symbol TEX. Both parties expect to pay dividends in the ordinary course of business through closing.
The combined company is expected to have approximately $7.8 billion in net sales and an attractive combined Adjusted EBITDA margin of approximately 11% as of year-end 2025 excluding benefit of synergies.
Following the close, the board of the combined company will consist of 12 directors, of which 7 will be from the Terex board and 5 from the REV Group board.
The transaction is expected to close in the first half of 2026, subject to approval by both companies’ shareholders, required regulatory clearance, and satisfaction of other customary closing conditions.
