16.06.2011

Manitex CVS takeover approved.

Manitex has received formal Italian court approval for its acquisition of the business assets of CVS, through its Italian subsidiary CVS-Ferrari.

The cost of assets and the assumption of certain miscellaneous liabilities totals $5.1 million payable in instalments over a three year period without interest. The approval follows creditor agreement last month.

Manitex has been renting the assets since July last year, under the Italian bankruptcy process, Concordato Preventivo. The assets- largely drawings, designs and manufacturing fixtures were valued at $4.4 million, while Manitex assumed miscellaneous liabilities of approximately $750,000.

No other historical liabilities of CVS, such as debt, contracts or employee liabilities are being assumed and the new business - CVS Ferrari intends to continue to operate in Cadeo, Italy. Click here to see Manitex receives creditor approval

Manitex chief executive David Langevin said: "We are very pleased to be finalising this transaction which will allow us to consolidate and grow our position in the global container handling market. The CVS Ferrari name and product design have a long standing and respected history, and we are excited to continue investing in and supporting its future growth within the Manitex group.”

“From the start, our container handling equipment business has been a profitable contributor to the group, and with the transition from renting, to the acquisition of the CVS product line, our commercial efforts will be significantly enhanced and ensure that our customers have increased confidence in our product offering. In addition, I anticipate that this will provide enhanced growth opportunities for Manitex International on a global scale."