K-Tec Earthmovers and Ashland Industries join forces

First published at CONEXPO-CON/AGG - March 12, 2020

K-Tec and Ashland announced their merger on 10 March 2020

Equipment manufacturers K-Tec Earthmovers and Ashland Industries announced their merger at the show, describing the move as a good fit.

Both firms are now owned by private equity company Owner Resource Group (ORG), which took a majority shareholding in K-Tec back in 2018 and has been looking to grow the firm since then. The merger between the two earthmoving firms had been under discussion since August 2019 and closed in February.

“One of the ways to stimulate growth is through mergers and acquisitions,” explained K-Tec’s marketing vice president Shane Kroeker. “The company at the top of the list was Ashland Industries. Their products sit at the smaller end, so they fit really well with our product offering.”

The aim will be to use the two companies’ combined network of distributors to expand K-Tec and Ashland products into territories where they don’t currently have a strong presence. The new company will also be looking to grow overseas, says Kroeker, with Africa and Europe particular targets.

The merged operation will be headquartered in Rosenort, MB, Canada and led by Mikhail (Mike) Palitsky, president of K-Tec. The combined business will have manufacturing and service locations in both Rosenort, MB, Canada and Ashland, WI, US.

Kroeker declined to comment on whether the two brands will retain their identities. “For 2020 we want to honour all our sales programmes and products and the sales we have committed to. We will keep the status quo and see how things work together.”

Stand F2932