The Toro Company to Acquire Tornado Infrastructure Equipment Ltd.
Acquisition expands underground and specialty construction product portfolio and market reach with a leading manufacturer of vacuum excavation trucks for critical infrastructure needs
Based in
In 2022, The Toro Company’s Ditch Witch Division entered into a strategic supply agreement with Tornado Infrastructure Equipment to co-develop an exclusive line of Ditch Witch-branded hydrovac trucks to expand its product offering and capitalize on accelerated growth in vacuum excavation.
“We continue to strengthen our business and product portfolio by divesting non-core assets and shifting resources toward markets with strong growth drivers like infrastructure,” said Richard Olson, chairman and chief executive officer of The Toro Company. “This acquisition builds on the momentum in our Professional segment, which represented nearly 80 percent of our fiscal 2024 new sales, and expands our underground construction product lineup while maintaining our disciplined approach to capital allocation.”
“Tornado Infrastructure Equipment is well recognized in the industry for its market-leading innovation and commitment to meeting the critical needs of customers in the greater infrastructure space,” said Peter Moeller, group vice president, Underground and Specialty Construction at The Toro Company. “This acquisition will help expand both our geographical footprint and product range to better serve customers facing complex projects in energy, power transmission, and water infrastructure. Having partnered with the Tornado team since 2022, we have a great history and respect for the Tornado team, and we look forward to working together to further our leadership position within construction.”
"Joining The Toro Company marks an exciting new chapter for Tornado,” said Brett Newton, president and chief executive officer of Tornado Infrastructure Equipment. “Toro’s culture and values closely align with ours, and together we will deliver innovative solutions and exceptional service to customers across the above-ground and underground infrastructure industry worldwide. This partnership enhances our ability to grow, support our employees, and meet the evolving needs of our customers for many years to come."
The Toro Company will purchase all of the outstanding shares of Tornado Infrastructure Equipment for
By financing the transaction with debt, The Toro Company intends to preserve flexibility and capacity to continue to repurchase its shares under its stock repurchase program in line with its disciplined capital deployment strategy, reinforcing its commitment to creating long-term shareholder value. The Toro Company expects to provide guidance regarding the anticipated contribution of the acquisition to its fiscal year 2026 financial results at the time of its fourth quarter earnings call.
About The Toro Company
The Toro Company (NYSE: TTC) is a leading global provider of solutions for the outdoor environment including turf and landscape maintenance, snow and ice management, underground utility construction, rental and specialty construction, and irrigation and outdoor lighting solutions. With net sales of
About Tornado Infrastructure Equipment Ltd.
Tornado is a pioneer and leader in the vacuum truck industry and has been a choice of utility and oilfield professionals with over 1,900 hydrovacs sold since 2008. The Company designs and manufactures hydrovac trucks as well as provides heavy duty truck maintenance operations in central
Forward-Looking Statements
This news release contains forward-looking statements, which are being made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s current assumptions and expectations of future events, and often can be identified by words such as “anticipate,” “believe,” “become,” “can,” “continue,” “could,” “encourage,” “estimate,” “expect,” “forecast,” “goal,” “guidance,” “improve,” “intend,” “likely,” “looking ahead,” “may,” “optimistic,” “outlook,” “plan,” “possible,” “potential,” “pro forma,” “project,” “promise,” “pursue,” “should,” “strive,” “target,” “will,” “would,” “seek,” variations of such words or the negative thereof, and similar expressions or future dates. Forward-looking statements involve risks and uncertainties that could cause actual events and results to differ materially from those projected or implied. Forward-looking statements in this release include anticipated timing for the closing of the acquisition, plans for funding the acquisition consideration, expected earnings contribution from the acquisition and expected cost synergies and value to be achieved through synergies. Some of the risks and uncertainties known to The Toro Company that may cause actual results to differ materially from what The Toro Company has anticipated in its forward-looking statements include: delays in completing the acquisition and the risk that the acquisition may not be completed at all; the failure by The Toro Company to achieve the net sales, earnings and any cost or revenue synergies expected from the acquisition or delays in the realization thereof; delays and challenges in integrating the businesses after the acquisition is completed; business disruption during the pendency of and following the acquisition; loss of key personnel; unanticipated liabilities or exposures for which The Toro Company has not been indemnified or may not recover; infringement of intellectual property rights of others associated with the rights acquired in the acquisition; and general adverse business, economic or competitive conditions. For more information regarding these and other uncertainties and factors that could cause The Toro Company’s actual results to differ materially from what it has anticipated in its forward-looking statements or otherwise could materially adversely affect its business, financial condition or operating results, see The Toro Company’s most recent annual report on Form 10-K, subsequent quarterly reports on Form 10-Q and other filings with the Securities and Exchange Commission. The Toro Company makes no commitment to revise or update any forward-looking statements in order to reflect events or circumstances occurring or existing after the date any forward-looking statement is made.
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Investor Relations
Heather Hille
Managing Director, Corporate Affairs
(952) 887-8923, heather.hille@toro.com
Media Relations
Branden Happel
Senior Manager, Public Relations
(952) 887-8930, branden.happel@toro.com
Source: The Toro Company
