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Komatsu enters paving with US$75m deal for Astec's Roadtec business

Astec offloads a loss-making unit to focus on higher-margin asphalt, aggregates and concrete equipment.

M&A News deals deskIndustrials / Construction equipment · United States, Americas12 Nov 2026

Astec Industries agreed on 12 November 2026 to sell its Roadtec and Carlson road construction equipment business to Komatsu America Corp. for an enterprise value of US$75m.

Why Komatsu America Corp. (Komatsu Ltd.) is buying Roadtec and Carlson road construction equipment business (Astec Industries)

Astec says the sale removes a business that has been generating operating losses, should lift its adjusted EBITDA margin by about 200 basis points and frees capital for its core asphalt, aggregates, concrete, recycling, digital and mining businesses. For Komatsu, the deal marks an entry into the paving equipment market.

Deal terms and financing

The US$75m enterprise value is subject to customary closing adjustments. Astec expects about US$65m in total cash proceeds and tax benefits.

Regulatory approvals and timing

Completion is expected in the first quarter of 2027, subject to customary closing conditions.

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