Komatsu Ltd. of Tokyo has signed a definitive agreement with Joy Global Inc. of Milwaukee, WI, under which its subsidiary Komatsu America will acquire 100% of Joy Global.
Today, Komatsu's annual revenue of US$4.29 billion from mining equipment business is generated by surface mining equipment only. But the company's product lineup does not include large sized loading equipment for surface mining.
Through its leading brands – P&H, Joy and Montabert – Joy Global manufactures and services advanced original equipment and parts for underground and surface mining applications, as well as material handling systems and components for a variety of applications, products that complement existing Komatsu products. Joy operates globally and generates an annual revenue of US$3.17 billion (approximately 333 billion yen at @105yen/U$).
The acquisition is expected to close in mid- 2017, subject to the approval of shareholders of Joy Global and the receipt of necessary regulatory approvals under laws in relevant countries.
Details are posted at www.Komatsu.com in the news release dated July 21, 2016.