Manitex International, Inc., a provider of cranes and specialized material and container handling equipment, has sold its Liftking subsidiary to a newly formed subsidiary of Mi‐Jack Products Inc., Mi‐Jack for $14 million, according to a news release. Mi‐Jack, based in Hazel Crest, IL, is a privately‐held manufacturer and service provider for rubber and track-mounted gantry cranes and industrial cranes.
The transaction closed September 30, 2016 and yielded proceeds of approximately $13.3 million to Manitex International. The press release said the company will use the proceeds to pay down its North American bank debt. Trailing 12 months (TTM) revenue and EBITDA for Liftking were approximately $18 million and $2 million, respectively. Liftking was originally acquired by Manitex International in November 2006 for consideration of $7.1 million.
David J. Langevin, Chairman and CEO of Manitex International, Inc., said, “The divestiture of Liftking is another important step forward in our corporate program to focus our resources on our higher margin core lifting businesses and to reduce the company’s indebtedness, which remain our top corporate priorities this year and heading into 2017. Liftking is a solid strategic fit with Mi‐Jack and this transaction should be of substantial benefit to both parties. We are deeply appreciative of the efforts of the entire Liftking team and are confident that Mi‐Jack will be an excellent owner and operator of this business.”