Komatsu to acquire SRC of Lexington

Komatsu North America has entered into an agreement to acquire assets of SRC of Lexington Inc., a supplier of remanufactured components and parts for construction and mining equipment based in Lexington, Ky., U.S.A. The deal is scheduled to close by the end of February 2026, subject to customary closing conditions. Terms were not disclosed.

The acquisition is expected to strengthen Komatsu’s remanufacturing capabilities in North America and expand its ability to support customers as demand for reman solutions continues to grow. With this investment into a dedicated reman facility in the U.S., Komatsu said it will further strengthen its presence in North America, one of the world’s largest construction and mining equipment markets.

(Photo: Komatsu)

Demand for remanufactured components has increased alongside the growth of the installed base of quarry and mining equipment in North America since 2010. During that period, Komatsu’s reman business has expanded significantly, with transaction volume increasing approximately fourfold from FY2010 to FY2024.

“North America is one of Komatsu’s most important markets for both construction and mining equipment,” said Danny Murtagh, vice president, Parts and Infrastructure, Komatsu North America. “This acquisition allows us to deepen our reman capabilities closer to customers, improve responsiveness, and support dealers and end users with high-quality, cost-effective solutions throughout the equipment lifecycle.”

Through its reman operations, Komatsu recovers used components from construction and mining equipment, restores them to like-new condition at dedicated facilities, and returns them to the market with the same quality standards as new components. The company said remanufacturing can help reduce cost and lead time while supporting resource efficiency through reuse.

“This agreement reflects a shared commitment to remanufacturing excellence, technical expertise, and long-term support for customers,” said Tim Stack, president, SRC Holdings Corp. “Just as important, it reflects our responsibility to do what is right for our people. Becoming part of Komatsu allows the Lexington team to build on over three decades of remanufacturing strength, while providing the investment, long-term support and opportunity needed to carry that legacy forward into its next chapter.”

Komatsu established its global two-pillar reman structure with the launch of a facility in Chile in 2005 to support electric dump trucks manufactured in the United States, followed by a facility in Indonesia in 2007 serving equipment manufactured in Japan. As of 2025, Komatsu’s reman network has grown to 45 locations across 16 countries.

Based in Springfield, Mo., SRC Holdings Corp. has undergone a decade-long investment strategy to expand its manufacturing and remanufacturing footprint in the Springfield region. The company invested approximately $19 million in a new 200,000-sq.ft. building that consolidates SRC Industrial’s operations under one roof. The facility features expanded manufacturing space, large dyno-testing rooms, a panel shop, a disassembly area, and extensive warehouse, office and meeting space. The company said the investment was expected to support the creation of more than 200 new jobs in the Springfield area over the next five years.

SRC originally acquired the Lexington plant from Komatsu America Corp. in 2010, after which it continued to handle remanufacturing work for Komatsu’s mining and construction equipment.