Alamo Group Completes Acquisition of Herder Implementos e Maquinas Agricolas Ltda
SEGUIN, Texas –Â Alamo Group Inc. (NYSE: ALG) announced today it has completed the acquisition of Herder Implementos e Maquinas Agricolas Ltda. in Brazil.
Herder is a manufacturer of flail mowers and other agricultural implements which are sold direct and through dealers to the sugar cane, orchard and other agricultural markets as well as for roadside maintenance. Sales in 2014 were under U.S. $3 million.
Herder is located in Matao, Sao Paulo, and was founded in 2006. The Company has 19 employees and Hudson Aparecido Martins, one of the selling shareholders, will continue with Herder under Alamo's ownership.
Ron Robinson, Alamo Group's President and Chief Executive Officer commented, "While this acquisition is immaterial from a financial point of view, we believe it is a noteworthy step in Alamo's development. Establishing a presence in Brazil has been an objective for our Company as it is one of the largest agricultural markets in the world. We see this as a first step in establishing a position in the market from which we can pursue both organic growth and further acquisitions.
"Brazil also has developing needs for infrastructure maintenance equipment which fits Alamo's capabilities. So, while we are starting small in Brazil, the combination of Herder's local presence with Alamo's product range and financial support should offer long term growth potential."
Alamo Group is a leader in the design, manufacture, distribution and service of high quality equipment for infrastructure maintenance, agriculture and other applications. Our products include truck and tractor mounted mowing and other vegetation maintenance equipment, street sweepers, snow removal equipment, excavators, vacuum trucks, other industrial equipment, agricultural implements and related after-market parts and services. The Company, founded in 1969, has approximately 3,100 employees and operates 25 plants in North America, Europe, Australia and Brazil as of December 2015. The corporate offices of Alamo Group Inc. are located in Seguin, Texas and the headquarters for the Company's European operations are located in Salford Priors, England.
SOURCE Alamo Group Inc.
CONTACT: For: Alamo Group Inc. - Contact: Robert H. George, Vice President, 830-372-9621, or Financial Relations Board, Marilynn Meek, 212-827-3773
Web Site: http://www.alamo-group.com
