MacGregor Completes TTS Acquisition
Finnish cargo-handling machinery giant Cargotec announced that its unit MacGregor, which provides solutions and services for handling marine cargoes, has completed the acquisition of the marine and offshore businesses of TTS Group ASA.
"MacGregor business area has completed the acquisition of the marine and offshore businesses of TTS Group ASA. Cargotec announced in February 2018 an agreement to acquire the businesses for an enterprise value of approximately EUR 87 million," said a press statement from Cargotec.
Completion of the acquisition follows receipt of required approvals from the relevant countries and authorities.
The acquired businesses will be integrated within MacGregor's operating structure, and their results will be consolidated into MacGregor's financial figures as of 1 August 2019.
Based on preliminary estimates, approximately 30 percent of TTS sales are related to TTS companies where the Group's ownership is 50 percent.
Cargotec plans to consolidate these companies using the equity method, whereby 50 percent of the companies' net profit will be presented as a separate row in Cargotec's financial statements before EBIT. This means that sales income from these companies will not be consolidated into Cargotec's sales.