SEGUIN, Texas — Alamo Group (NYSE: ALG) announced that it has entered into an agreement to acquire 100% of the outstanding capital shares of Santa Izabel Agro Industria (“Santa Izabel”) a privately held company owned by Soufer Industria. Santa Izabel, located in Sao Joao da Boa Vista, SP, Brazil, designs, manufactures and markets a variety of agricultural implements and trailers sold throughout Brazil. Santa Izabel has been serving this market for over 60 years.
Santa Izabel’s sales in 2016 were approximately US $12.6 million and the purchase is expected to close in the second quarter of 2017.
Ron Robinson, Alamo Group’s president and CEO commented, “We are pleased to have Santa Izabel as part of the Alamo Group. They are firmly established in the Brazilian market and have a modern, well equipped manufacturing facility. They are also near our existing Herder operation in Brazil, which we acquired in 2015. This acquisition enhances our platform for growth by increasing both our product portfolio and capabilities in one of the world’s largest agricultural markets. And we feel the timing is good as the agricultural market in Brazil starts to rebound from the declines of the last several years.”
About Alamo Group
Alamo Group is a leader in the design, manufacture, distribution and service of high quality equipment for infrastructure maintenance, agriculture and other applications. Our products include truck and tractor mounted mowing and other vegetation maintenance equipment, street sweepers, snow removal equipment, excavators, vacuum trucks, other industrial equipment, agricultural implements and related after-market parts and services. The company, founded in 1969, has approximately 2,970 employees and operates 24 plants in North America, Europe, Australia and Brazil as of March 31, 2017. The corporate offices of Alamo Group are located in Seguin, Texas and the headquarters for the Company’s European operations are located in Salford Priors, England.