04.01.2010

Manitex acquires Load King

Manitex International, the crane, boom truck and rough terrain forklift manufacturer has acquired the assets and certain liabilities of Load King Trailers from Terex.

The Elk Point, South Dakota based trailer manufacturer was a part of the Genie Industries division. Manitex paid a total of $3.1 million, consisting of a promissory note of $2.75 million, Manitex shares valued at $250,000 and cash of $100,000. Load King's average annual revenues over the past five years were around $23 million.
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A Load King trailer

Andrew Rooke, president of Manitex said:” We are excited to add another niche product line with a well-recognised quality brand name and accomplished management team, to the Manitex family. The acquisition brings us additional government and military relationships, outstanding manufacturing capabilities and a strong distribution network, particularly within the energy, railroad and construction industries. The addition of Load King will create additional market opportunities for us as we leverage our distribution networks."

"We anticipate moderate revenue and cash flow contributions in the second half of 2010 from Load King, with a more substantial impact occurring in following years as construction equipment sales growth accelerates with the recovery of this sector.”

Tim Maxson, general manager of Load King, added: "Load King has a strong industry reputation for high quality customised trailers. The opportunity to become part of the Manitex organisation supports our strategy of continuing to provide our customers with 'best in class' service and quality in all aspects of our business. Manitex will offer Load King access to a customer base that can be leveraged to grow our existing market share."

Load King was founded in 1956 and was acquired by Terex in 2001 and more recently was merged into the Genie AWP business.
See Terex to close Load King Plant

Vertikal Comment

This is a far better result for Load King than most expected, only weeks ago it looked as if the plant and the business would simply be closed down with the loss of all related jobs.

When talk surfaced of the possible sale of Load King, few thought it would really happen. The deal is though a good one for both Terex and Manitex, not to mention the Load King employees and local community.