Toro to acquire Boss snow equipment

October 28, 2014 -  By

toroThe Toro Co. has agreed to acquire the Boss professional snow and ice management business of Northern Star Industries for approximately $227 million. Toro is based in Bloomington, Minn.

Based in Iron Mountain, Mich., Boss designs, manufactures and sells snow plows, salt and sand spreaders and related parts/accessories, for light and medium duty trucks, ATVs, UTVs and loaders. Boss sales in 2014 are anticipated to be approximately $125 million.

“With the addition of BOSS to our existing market-leading professional contractor businesses, we are even better positioned to strengthen and grow our relationships with these important customers by providing them with the innovative and durable equipment and high-quality service they need for each season,” said Michael Hoffman, Toro’s chairman and CEO. “We’ve long been interested in the professional snow and ice management category. We are impressed with Boss’ solid business performance and we are optimistic about the opportunities for growth through product line expansion and in international markets.”

TBossoro will pay for Boss primarily in cash, except for $30 million that will be paid in the form of a three-year unsecured promissory note. Toro plans to fund the cash portion of the purchase price with cash on hand and a new five-year unsecured revolving credit facility.

“As a privately-held business in a smaller community, it is essential to us that Boss transition to a company that not only is well positioned to take us to the next level but also shares our commitment to innovation, customers, employees and the communities in which we live and work,” said David Brule II, president of Boss. “We are impressed with Toro, its rich 100 year history and consistent record of performance. Overall, it is a great fit for us. On behalf of myself and the entire Boss team, we look forward to the next phase of the BOSS journey as part of the Toro family.”

 

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