Toro to Buy Landscape Equipment Company for $167M
The Toro Co. announced Tuesday that it has reached an agreement to buy landscape and snow equipment maker Venture Products Inc. for $167.5 million.
Venture Products will continue to develop and manufacture its line of Ventrac-branded equipment out of its facility in Orrville, Ohio. The company builds equipment for grounds maintenance at golf courses, parks, and other properties.
In 2019, the company logged net revenue of about $100 million, according to a press release issued by Toro. The acquisition follows Venture Product’s recent $5.5 million expansion at its Orrville facility.
Toro officials expect the transaction to close in the company’s second quarter. The company plans to pay for the acquisition with borrowed funds under a revolving credit facility.
Toro chairman and CEO Richard Olson said the acquisition “supports our growth strategy in the professional market.”
“We have long respected and admired the Ventrac team, and we look forward to helping them grow on the successful foundation they have built in Orrville,” he said in the release.