Cargotec’s transformation project, including listing Kalmar as a separate company, preparing Hiab for its standalone future and finding a solution for MacGregor, has progressed according to the plan and targets set by the Board in 2023. After considering different alternatives, the Board is convinced that from the value creation perspective, the Transaction represents the best alternative for Cargotec’s shareholders. Once the Transaction has been completed, Hiab would be the only business left in Cargotec and could pursue its strategy on a standalone basis.

As the agreement to sell MacGregor has been signed, Cargotec’s Board of Directors is planning to propose to Cargotec’s General Meeting of shareholders that the company’s name would be changed from Cargotec to Hiab. Simultaneously as the name change enters into force, the current President and CEO of Cargotec, Casimir Lindholm, has announced his intention to step down as President and CEO after a successfully executed transformation project of the Cargotec group. The Board of Directors would then appoint the President of the Hiab business, Scott Phillips, as the President and CEO of the renamed company being the current Cargotec. Cargotec currently estimates that these changes to transform into a standalone Hiab could take place on 1 April 2025. Current Cargotec CFO Mikko Puolakka would continue as CFO of the standalone Hiab. 

MacGregor is a supplier of maritime cargo and load handling systems. In 2023 MacGregor recorded sales of EUR 733 million and a comparable operating profit of EUR 33 million.

Triton is a European mid-market sector-specialist investor. Triton focuses on investing in businesses that provide mission critical goods and services in its three core sectors of Business Services, Industrial Tech, and Healthcare. Triton has previous experience of investing in the maritime sector and is a proven leader in the practice of carve-out investments. 

The enterprise value of the Transaction is EUR 480 million. Cargotec expects to record a tax-exempt loss of approximately EUR 200 million on the Transaction in the fourth quarter 2024 results. The loss will be recorded as a goodwill impairment in items affecting comparability as a part of discontinued operations. Cargotec estimates that the total costs to separate MacGregor, in addition to the goodwill impairment, would be approximately EUR 25 million and recorded in items affecting comparability as a part of discontinued operations.

The Transaction is subject to regulatory approvals and works council consultation in relevant jurisdictions. Closing of the Transaction is expected to occur by 1 July 2025 at the latest. In addition to funding Hiab’s growth, the Board evaluates using part of the proceeds from the Transaction to pay extra dividends.

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