Kion acquires Dematic for $2.1 billion
Deal expands German forklift giant's foothold in North American material handling market.
By Ben Ames
Kion Group AG, the world's second-largest manufacturer of industrial trucks, will acquire U.S.-based systems integrator Dematic Corp. for $2.1 billion, the companies said today.
Buying Dematic allows Germany-based Kion to expand its footprint in the North American market, and offer a range of material handling services that extend beyond Kion's core businesses in forklifts and associated warehouse technology, to warehouse automation and logistics systems integration, Kion said.
Once the deal closes, Atlanta-based Dematic will form a separate operating unit of Kion, along with Holland, Mich.-based Egemin Automation Inc. and West Henrietta, N.Y.-based Retrotech Inc. The unit is to be led by Ulf Henriksson, Dematic's current CEO.
By adding Dematic's nearly 6,000 employees and $1.8 billion in 2015 revenue, Kion will be a $7.5 billion organization with about 30,000 employees.
About the Author
Ben Ames has spent 20 years as a journalist since starting out as a daily newspaper reporter in Pennsylvania in 1995. From 1999 forward, he has focused on business and technology reporting for a number of trade journals, beginning when he joined Design News and Modern Materials Handling magazines. Ames is author of the trail guide "Hiking Massachusetts" and is a graduate of the Columbia School of Journalism.
More articles by Ben Ames
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