The board of Japanese mining equipment manufacturer Komatsu has given the green light for the firm to make its biggest-ever acquisition and buy rival Milwaukee, Wisconsin-based Joy Global in a bid valued at $3.7-billion, the company announced Friday.
Komatsu had signed a $2.89-billion deal to acquire Joy Global and would buy, through its US subsidiary, all outstanding shares offering $28.30 apiece, a 20% premium on Joy’s July 21 closing share price. Subject to shareholder and regulatory approvals, the acquisition was expected to close in mid-2017.
