The Toro Company (NYSE: TTC) today announced that it has entered into a definitive agreement to acquire Tornado Infrastructure Equipment Ltd. (TSX‑V: TGH), a leading manufacturer of vacuum trucks used for underground construction, power transmission, and energy markets. The all‑cash purchase price is $1.92 per share CAD, valuing the company at a fully diluted equity value of $279 million CAD, a 4 percent premium to Tornado’s most recent closing share price.
The acquisition is expected to close during The Toro Company’s fiscal 2026 first quarter and will be financed with debt from existing credit facilities and additional arrangements. Management projects annual run‑rate cost synergies of $3 million USD over three years, primarily through purchasing and manufacturing efficiencies, and anticipates the transaction to be marginally accretive to earnings in the first year, excluding purchase‑price accounting and transaction‑related adjustments.
Strategically, the deal expands TTC’s underground construction product lineup and geographic footprint, adding a proven vacuum truck platform that complements the company’s Ditch Witch and HammerHead brands. The acquisition builds on momentum in the Professional segment, which accounted for nearly 80 percent of TTC’s fiscal 2024 new sales, and reinforces the company’s disciplined approach to capital allocation while positioning it for continued growth in infrastructure markets.
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