MacGregor Gets Final Clearance for TTS Deal
Cargotec’s MacGregor has received a clearance decision from the Chinese competition regulator for the acquisition of the marine and offshore businesses of TTS Group.
The approval has been granted by China’s State Administration for Market Regulation (SAMR).
MacGregor now has all the regulatory approvals needed to be able to complete the transaction, which was announced in February 2018. The company previously received approvals from the German regulator in November 2018 and from the South Korean authority in December 2018.
Closing of the transaction is expected to take place on July 31, 2019, the company informed.
As explained, the Chinese competition authority approval includes temporary requirements relating to the terms and conditions of certain new equipment business undertaken in China, and the need to hold certain new equipment businesses separately for a period of two years.
Based on revised estimates, potential cost synergies are estimated to be around EUR 25-30 million (USD 28.2-33.8 million) on annual level and are expected to be reached within three years from closing.
Under the deal worth more than USD 100 million, MacGregor is buying all TTS’ assets except for TTS Group ASA and its shipyard solution business Syncrolift.