Projects & Infrastructure
Manitex completes sale of Sabre
August 31, 2020 By Crane & Hoist Canada
Bridgeview, Ill. – Manitex agreed to sell its subsidiary, Sabre, to Super Steel, a contract manufacturer in Milwaukee serving the agricultural, construction, industrial, transportation, and defence markets.
Consideration to Manitex for the sale is $1.5 million in cash that has been paid to Manitex upon close, plus royalties, based on future Sabre revenues which have the potential of yielding approximately $2.9 million in additional consideration to Manitex.
“We are pleased to announce a transaction with Super Steel for Manitex Sabre as part of our effort to maintain our focus on crane businesses and strengthen our financial position for future growth,” said Steve Filipov, Chief Executive Officer of Manitex. “We believe it is a great fit for Super Steel and their growth objectives, and we look forward to helping them make an efficient and smooth transition to their manufacturing platform and stewardship.”
Jason Gaare, president of Super Steel, commented, “We are looking forward to leveraging our manufacturing capabilities to include our first foray into branded products of our own, having been a trusted contract manufacturer to diversified industries since 1923. The Sabre product line is very much aligned with our domain expertise and we would anticipate being able to offer an exceptional manufacturing, service, and delivery platform to Sabre’s current and future customers with quality products.”
Manitex anticipates booking a modest gain on the transaction, which will be reflected in its third and fourth quarter 2020 financial reports. The $1.5 million in cash received will be used for debt repayment. The transaction closed on Friday August 21, 2020.
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