Dematic intends to acquire HK Systems
Acquisition is expected to close during Q3
in the NewsThe State of the DC Voice Market CSX president and CEO E. Hunter Harrison passes away The Big Picture: Navigation Gets a Reboot for Automatic Vehicles AAR reports carload and intermodal gains for week ending December 9 Intelligent Lift Trucks, Smarter Business More News
Dematic, a leading global supplier of integrated material handling solutions and services, announces it has signed an agreement in principle to purchase HK Systems, a North American automated material handling and software solutions provider. The transaction is expected to close sometime in the third quarter of 2010.
The combined companies would generate about $1.2 billion, based on the 2009 revenues both companies reported to us for our annual look at the Top 20 Systems Suppliers, published in May. Dematic was the number 3 provider worldwide with $1 billion. The combined companies would still rank below Daifuku, which reported about $1.76 billion.
Roar Isaksen, president and CEO of Dematic Group, sent out an e-mail yesterday announcing the agreement. “We are very excited about this significant development,” he wrote. “The opportunity to bring these companies together is extremely positive. Combining two successful companies like Dematic and HK Systems means we will be able to achieve extraordinary business results for our customers and our employees.”
Isaksen continued that the merger will leverage the complementary technical strengths of both companies and bring together two players with strong engineering talent, a common vision and a common business strategy of delivering logistics solutions with a strong return on investment.
About the AuthorBob Trebilcock Bob Trebilcock, editorial director, has covered materials handling, technology, logistics and supply chain topics for nearly 30 years. In addition to Supply Chain Management Review, he is also Executive Editor of Modern Materials Handling. A graduate of Bowling Green State University, Trebilcock lives in Keene, NH. He can be reached at 603-357-0484.
Subscribe to Logistics Management Magazine!Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!
34th Annual Quest for Quality Awards: 2017 Awards Dinner Trucking Regulations: Washington U-Turns; States put hammer down View More From this Issue