Komatsu to buy Roadtec and Carlson from Astec for $75m

The $75 million deal will bring the Roadtec and Carlson brands of road paving and maintenance equipment into the Komatsu stable.

The deal is expected to close on 1 January 2027, subject to closing conditions.

Roadtec, based in Chattanooga, Tennessee, designs and manufactures asphalt pavers, paver screets, Shuttle Buggy material transfer vehicles, and cold planers. It generates around $145 million in annualised revenue, according to Astec.

Komatsu said it would create a more comprehensive portfolio of equipment for road construction within the business.

Meanwhile, Astec said the deal would enable it to prioritise investment in its core asphalt, aggregates, and concrete platforms, as well as growth opportunities in recycling, digital solutions, and mining.

Jaco van der Merwe, Astec president and chief executive officer, said, “The Roadtec Business has been an important part of Astec, and I want to thank our Roadtec employees for their dedication and contributions and our customers for their partnership and loyalty over the years. We are pleased to have entered into this agreement with Komatsu, a strategic buyer who values the Roadtec brand, technology, engineering expertise and team members. This transaction is consistent with our strategy to sharpen our portfolio focus, drive sustainable margin expansion and allocate capital toward our core businesses and long-term growth opportunities.”

Rod Bull, CEO, Komatsu North America, said, “Road construction plays an important role in building and maintaining the infrastructure that supports communities and economies in North America and around the world.

“The proposed acquisition would strengthen our ability to serve this essential market by bringing together Komatsu’s capabilities with two established brands known for strong products, experienced people and longstanding customer relationships.”

Takuya Imayoshi, President and CEO of Komatsu added, “Komatsu has long recognised the strategic importance of road construction equipment and has considered opportunities to expand in this market for many years.

“North America is one of Komatsu’s key markets, and this acquisition reflects our continued commitment to investing in the region and strengthening our construction equipment business. By combining Roadtec’s and Carlson’s specialized expertise and technologies with Komatsu’s manufacturing, engineering and global capabilities, we aim to create greater value for customers and build a strong foundation for long-term growth, both in North America and in other markets over time.”

Exactly what Komatsu’s strategy with the newly acquired brands will be remains to be seen, however. Commenting to Construction Briefing, Off-Highway Research managing director Chris Sleight said, “It is interesting to that Komatsu has chosen to enter the North American roadbuilding equipment segment with the acquisition of Roadtec’s portfolio of pavers, milling machines and related equipment. The market is dominated by a small number of full-line producers, which also have compaction equipment in their portfolios and which have specialist distribution networks to serve their customers. The industry will be watching to see how Komatsu moves the business forward and whether it plans to build a bigger presence in road building equipment.”