Terex Corporation and REV Group have entered into a definitive merger agreement to form a leading specialty equipment manufacturer. This merger will create a diversified leader in emergency, waste, utilities, environmental and materials processing equipment with attractive end markets characterised by low cyclicality, resilient demand and long-term growth profiles.

At the same time, Terex announced that it will initiate a process to exit its Aerials segment, including the assessment of a potential sale or spin-off. 

Upon closing of the merger, which is expected in the first half of 2026, Terex CEO Simon Meester will serve as president and CEO of the combined company. The board will consist of 12 directors, of which seven will be from the Terex board and five from the REV Group board.

“This transaction represents a transformative step for both companies. By combining our complementary portfolios and leveraging our collective strengths, we are creating a large-scale, diversified industrial leader well-positioned to capitalise on long-term secular growth trends,” said Mr Meester.

“The transaction will unlock significant value for both Terex and REV Group shareholders and creates exciting opportunities for our team members and customers by strengthening our ability to invest in the combined business, innovate and deliver quality solutions.”

 “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 organisations with shared values and a commitment to innovation, operational excellence and customer success,” added Mark Skonieczny, CEO of REV Group.

The benefits of this merger include:

• Complementary portfolio of specialty equipment businesses. As a combined company, Terex and REV Group will offer a diversified portfolio of emergency, waste, utilities, environmental and material processing equipment with attractive end markets characterised by low cyclicality, resilient demand and long-term growth.

• Financial strength and flexibility. Together, Terex and REV Group will operate from a position of enhanced financial strength with an attractive leverage position, low capital intensity and significant free cash-flow to fuel growth. This strong financial foundation will support continued investment in growth while maintaining discipline and flexibility.

• Enhanced scale and growth profile. The transaction will enhance the combined company’s overall growth profile, creating a more diversified platform with multiple avenues for expansion. By combining complementary capabilities, the business is positioned for stronger, more sustainable growth over the long term.

• Compelling value creation through synergies. The transaction will unlock significant value-creating synergies that enhance competitiveness and reduce operating costs with US$75 million of run-rate value in 2028 and approximately 50% achieved 12 months after closing.