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Terex Inks Deal to Divest Tower & Rough Terrain Crane Businesses

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Key Takeaways

  • Terex will sell the Tower and Rough Terrain Cranes businesses to Raimondi Cranes.
  • The sale includes Italian facilities and a North America service unit.
  • Deal aligns with Terex's strategy to streamline and grow core segments.

Terex Corporation (TEX - Free Report) announced  that it inked a definitive agreement with Raimondi Cranes SpA to sell its Terex Tower and Rough Terrain Cranes businesses. This move is in sync with Terex's focus to reduce cyclicality and boost core business growth.

Details on Terex’s Deal With Raimondi Cranes

As part of the deal, the company will sell its Italian facilities, the Terex Tower Cranes facility in Fontanafredda and the Terex Rough Terrain Cranes facility in Crespellano. The deal also includes the Terex North America Cranes service and support operation based in Wilmington, NC. The company did not include Franna pick and carry cranes in the agreement. Terex will continue to manufacture them at its facilities in Eagle Farm, Brisbane, and Hosur, India. 

Headquartered in Italy, Raimondi Cranes manufactures cranes that operate globally. The deal will aid Raimondi Cranes by creating synergies and delivering a wider range of solutions  by integrating Terex's Tower and Rough Terrain cranes. 

Terex’s team is collaborating with Raimondi Cranes closely to ensure a smooth transition and prioritizing transparency.

The transaction is expected to be completed by the second half of 2025, subject to regulatory approvals. 

Terex is focused on aligning production and cost structure across its segments in response to the customer demand environment, while aggressively managing costs and working capital. This deal will help Terex enhance synergies across its three business segments — Materials Processing, Aerials and Environmental Solutions.

TEX Q2 Performance

Terex posted adjusted earnings of $1.49 per share for the second quarter of 2025, marking a 31% year-over-year decline. However, the figure beat the Zacks Consensus Estimate of $1.44.

Terex’s revenues for the quarter totaled $1.487 billion, up 7.6% from the year-ago period and exceeding the Zacks Consensus Estimate of $1.455 billion. Terex expects revenues of $5.3- $5.5 billion in 2025, and earnings per share between $4.70 and $5.10.

Terex Stock’s Price Performance

Terex's shares have lost 2.5% over the past year against the industry’s 24.7% decline.

 

Zacks Investment Research Image Source: Zacks Investment Research

 

TEX’s Zacks Rank & Stocks to Consider

Terex currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the Industrial Products sector are Flowserve Corporation (FLS - Free Report) , Life360, Inc. (LIF - Free Report) and DNOW Inc. (DNOW - Free Report) . FLS sports a Zacks Rank #1 (Strong Buy), and LIF and DNOW have a Zacks Rank #2 (Buy) at present. You can see the complete list of today's Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Flowserve’s 2025 earnings is pegged at $3.34 per share, indicating a year-over-year increase of 27%. Flowserve’s shares have gained 14.5% in a year.

Life360 delivered an average trailing four-quarter earnings surprise of 487%. The Zacks Consensus Estimate for LIF’s 2025 earnings is pinned at 29 cents per share, which indicates a year-over-year upsurge of 583%. Life360’s shares have skyrocketed 137.8% in a year.

DNOW delivered an average trailing four-quarter earnings surprise of 44.1%. The Zacks Consensus Estimate for DNOW’s 2025 earnings is pinned at 95 cents per share, which indicates year-over-year growth of 4.4%. The company’s shares have gained 28.4% in a year.


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