Materials handling company, the Kion Group, has successfully completed its $2.1 billion dollar (A$2.86 billion) acquisition of automation and supply chain optimisation specialist Dematic earlier this month.
With the acquisition, the Kion Group will now feature a suite of products ranging from forklift trucks to AS/RS solutions.
“The transaction brings together the world’s most profitable manufacturer of forklift trucks and warehouse technology with one of the largest and fastest-growing warehouse automation and software solutions providers. Our combined global presence, intelligent and tailored material handling as well as comprehensive automation and software technology solutions, plus now more than 30,000 dedicated and highly skilled employees will enable us to deliver even more value for our customers,” said Gordon Riske, chief executive officer of the Kion Group, upon the completion of the deal.
The new Dematic operating unit will be led by John Baysore, previously CEO of Dematic North America, who will hold the role of president and chief executive officer. “At Dematic, we are proud to move forward as part of the Kion Group, which even better positions us to assist our customers with supply chain performance,” Baysore said.
He also added that the newly established solution portfolio gives customers the ability to accommodate their ever changing business requirements. With Baysore’s appointment also comes the departure of CEO of Dematic, Ulf Henriksson with whom Riske thanked “for leading a smooth closing process over the last several months.”
Also, in the newly created role of executive vice president international, Jeff Moss will head up Dematic’s international business outside North America, which will be a key focus for expansion. With this, the Kion Group will start managing its business and reporting financials by three segments in December 2016: Industrial Trucks and Services, Supply Chain Solutions and Corporate Services.
The Industrial Trucks and Services segment represents Kion’s business up to now and consists of four operating units: Linde Material Handling EMEA and STILL EMEA, which each concentrate on Europe, the Middle East and Africa, plus Kion APAC and Kion Americas, which hold cross-brand responsibility for the Asia Pacific region and the Americas, respectively.
The Supply Chain Solutions segment comprises Dematic, Egemin Automation and Retrotech, while Corporate Services includes headquarter functions and group wide services such as internal logistics and information technology.