COCONUT GROVE, Fla.–(BUSINESS WIRE)–Right Lane Industries (“Right Lane”), a privately-held industrial-holding company focused on corporate carveouts and other complex transactions, today announced that it has signed an agreement to sell TerraSource Holdings LLC (“TerraSource”) to Astec Industries (“Astec”) for a purchase price of $245 million. TerraSource, headquartered in Saint Louis, is a leading provider of material handling equipment and related aftermarket parts and services for crushing and separating applications globally.
Right Lane acquired a 51% interest in TerraSource from Hillenbrand, Inc. in October, 2021, and worked to enhance the scale, profitability and competitiveness of the company. Right Lane combined an aligned management team with targeted operational improvements and transformative acquisitions to create an attractive global business with significant growth prospects, ultimately delivering exceptional value for all stakeholders involved.
«We are proud of what we achieved together at TerraSource,» said Eric Mara, Right Lane’s CEO. «This transaction showcases the strength of our entrepreneurial management style, operational playbook, and partnership approach, particularly in complex carveout scenarios. We look forward to applying our model to similar opportunities in the future, creating significant value through close collaboration with our partners, counterparties, and management teams.»
Kim Ryan, CEO of Hillenbrand, Inc., added, «The partnership with Right Lane was the right choice for us and has positioned TerraSource very well for continued growth. We are confident that TerraSource will continue to flourish under Astec’s ownership, and we wish them every success.”
Kevin Hambrice, TerraSource CEO, commented, «Congratulations to our exceptional colleagues at TerraSource, Right Lane, and Hillenbrand for this successful collaboration. The transformation journey has been remarkable, and I’m confident our partnership with Astec will enable us to continue our extraordinary trajectory, further enhance our market leadership, and deliver exceptional products and services to our customers.”
The transaction is expected to close by July 1, following receipt of customary regulatory approvals and other normal closing conditions. Key Banc Capital Markets advised TerraSource on the transaction, and Taft served as legal counsel.
About Right Lane Right Lane Industries LLC is a privately-held holding company focused on acquiring industrial businesses through complex transactions (e.g. corporate carveouts and divestitures, turnarounds, take-privates, and other special situations) that can benefit from Right Lane’s entrepreneurial approach to business transformation. To learn more visit www.rightlaneindustries.com.
About TerraSource TerraSource is a market-leading manufacturer of material processing equipment and related aftermarket parts and rebuilds serving feeding, crushing, screening and separation applications in diverse, global end markets. TerraSource delivers exceptional products to blue chip customers under its flagship brands, including Gundlach Crushers, Jefferey Rader, Pennsylvania Crusher, Elgin Separation Solutions, and Peninsula Iron Works. To learn more visit https://terrasource.com/.
About Astec Since 1972, ASTEC (NASDAQ: ASTE) has been connecting communities by providing innovative rock to road solutions for our customers. United by our purpose – Built to Connect – ASTEC is a leading global manufacturer of specialized equipment for asphalt road building, aggregate processing and concrete production. Operations are divided into two primary business segments. Infrastructure Solutions includes road building, asphalt and concrete plants, thermal and storage solutions. Materials Solutions includes aggregate and other material processing solutions. For more information, visit astecindustries.com and follow us on social media.
Contacts
Eric Mara, CEO of Right Lane Industries, [email protected]
