June 12, 2019 by David Kennedy
TORONTO—An Ontario-based manufacturer that makes mobile crushing and screening equipment has been snapped up by industrial machinery maker Metso in an agreement worth $420 million.
The Finland-based company, which makes equipment for the mining, aggregates and process industries, among others, said the deal will help it expand its footprint in aggregates, particularly within the market for mobile equipment.
“Customers in aggregates and construction have varying business needs,” Markku Simula, president of Metso’s Aggregates Equipment unit, said in a release. “This acquisition supports our expansion plans to approach customers through multiple complementary channels and offerings to meet their diverse needs.”
Simula added the company plans to continue developing McCloskey’s brands and distribution channels independently from Metso’s own network.
McCloskey’s headquarters and primary manufacturing facility — a 410,000 sq. ft. production plant — are located just east of Peterborough, Ont. It also operates a facility in Tyrone, Northern Ireland. Across Canada, the U.S. and Northern Ireland, the company employs about 900 people. According to Metso, in the 12 months ending last September, the company booked $464 million sales and expects to exceed $500 million in sales this fiscal year.
The deal is expected to close in the fourth quarter of 2019.