Terex sells mine ops to Bucyrus for $1.3 billion

LOS ANGELES (MarketWatch) — Terex Corp. /quotes/comstock/13*!tex/quotes/nls/tex (TEX 19.21, -0.11, -0.57%) said early Monday it has signed a definitive agreement to sell its mining business to Bucyrus International Inc. /quotes/comstock/15*!bucy/quotes/nls/bucy (BUCY 50.84, -1.42, -2.72%) for $1.3 billion in cash. The transaction, subject to regulatory approvals, is expected to close in the first quarter of 2010, Westport, Conn.-based Terex said in a statement. In a separate statement, Bucyrus said Terex may request $300 million of the purchase price in the form of shares. “The approximately $1 billion of after-tax proceeds will allow Terex to invest in its current, high return-on-capital businesses, or to look to add new, well positioned niche manufacturers with strong market presence to the company’s portfolio,” said Terex Chairman and Chief Executive Ronald DeFeo.
[MarketWatch]