- Expected fourth acquisition and third platform investment for Mutares in 2020
- Strategic addition to strengthen the Goods & Services segment, producing lawnmowers and other outdoor power products
- Closing expected in Q3 2020
Munich, 26 June 2020 – Mutares SE & Co. KGaA (ISIN: DE000A2NB650) has signed an agreement to acquire the SABO Maschinenfabrik GmbH, one of Europe’s leading manufactures of lawnmowers and other outdoor power products, from Deere & Company (John Deere, NYSE: DE). The transaction is expected to be completed by the end of July 2020.
The SABO Maschinenfabrik GmbH, one of the leading brands for high-quality walk-behind mowers and handheld power products in Europe, will strengthen the Goods & Services portfolio segment as a new platform investment.
SABO manufactures lawnmowers and other outdoor power products and markets them to homeowners, municipalities, and gardening and landscaping companies. The company, based in Gummersbach, Germany, was founded in 1932 and has been a subsidiary of Deere & Company since 1991. SABO has approximately 125 employees.
SABO will maintain ownership of its brand assets and its operations in Gummersbach. The company will continue to produce walk-behind lawnmowers and handheld outdoor power products, marketing those machines through its existing network of more than 1,100 specialized dealers in Germany, Austria, Belgium, the Netherlands, Switzerland, and Slovakia. Employees, customers, suppliers, dealers, and distributors should notice little change in daily operations, according to Deere and Mutares.
“SABO is a leading brand for high-quality walk-behind mowers and handheld power products in Europe, and the company is well-positioned for growth with its line of battery-powered machines,” said Tim Merrett, Vice President of John Deere’s Turf and Utility business. “However, Deere is shifting its focus to key production systems that will allow our machine technology to be a differentiator. Further investment in walk-behind lawnmowers was no longer a strategic fit.”
Johannes Laumann, CIO of Mutares, comments: “We are happy to add SABO to our Goods & Services segment and welcome the employees in the Mutares family. SABO is a very well-known brand in the garden and outdoor market and I am convinced, that, with its proven expertise and operational experience, Mutares is the best choice as new owner to drive the growth of SABO. We have very ambitious targets concerning growth and speed of execution as already successfully shown at keeeper Group. We are dedicated to be successful in realizing the value potential of SABO.”