The U.S. owner of ag equipment and snowblower maker Schulte has gone east for its next acquisition in the Canadian market.
San Antonio-area manufacturer Alamo Group last week announced it has bought all the assets of Tenco Group, based at St-Valerien-de-Milton, Que., north of Granby, for C$6 million plus the assumption of “certain specified liabilities.”
Tenco, which makes tractor-, loader- and truck-mounted snow and ice removal equipment, had been in receivership since late July and was granted approval Monday for the sale to Alamo in Quebec Superior Court.
Read Also
U.S. livestock: Cattle strength continues
Cattle futures on the Chicago Mercantile Exchange were stronger on Friday, hitting fresh highs to end the week.
“This is an excellent opportunity for us to expand our presence in snow removal equipment in North America, as Tenco complements and broadens our current range of Henke products in this sector,” Alamo CEO Ron Robinson said in a release.
Tenco, he said, has “strong brand recognition that will enhance Alamo’s overall presence, particularly in Canada and the northeastern U.S.”
The Quebec company, whose brands include Contant, Tenco and Vohl plus distribution deals for Belos, Zaugg Rolba and SSTA equipment, posted sales of about $35 million in its last fiscal year ending March 31.
Tenco general manager Daniel Beaudoin, in a memo last week to customers, said Alamo “will provide the necessary financial strength and stability that Tenco was lacking for the past several years.”
That in turn is expected to lead to “better productivity, enhanced efficiencies and ultimately a superior support structure for our dealer network,” he wrote.
Tractor-mounted snowblowers are already an Alamo product through its ownership of Schulte Industries, which also makes various rotary cutters and stonepicking equipment at Englefeld, Sask., about 140 km east of Saskatoon.
Schulte became part of the Alamo Group in 2000, a move the Saskatchewan company said allowed it the capital funding to expand and update its production capabilities and to “accelerate” design and marketing of new products.
