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Husqvarna Buys Komatsu Outdoor Business
Sep 26, 2006
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Outdoor power equipment maker Husqvarna agreed to acquire Komatsu Ltd.'s outdoor power products operation within Komatsu Zenoah Co.

Husqvarna AB is based in Stockholm, Sweden. Komatsu Zenoah is a leading producer of portable outdoor power products in Japan. Products include brush cutters, chainsaws, trimmers, and blowers. Sales for this operation in 2005/2006, the latest fiscal year, were approximately 19 billion yen (approx. U.S. $ 163 million), with about half its sales in Japan. The company has about 700 employees and manufactures in Japan and China.

Husqvarna signed a letter of intent and expects the final agreement to be signed before year-end, subject to due diligence and approval by relevant authorities. The acquisition is expected to be completed by the first quarter of 2007. The operation will be integrated in the group's Professional Products business area.

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