Auction company Ritchie Bros says it has reached a deal to buy Euro Auctions for US$1.08 billion in cash as part of its international expansion strategy.
Vancouver-based Ritchie, which focuses on helping customers buy and sell used heavy equipment and trucks, says it will keep on Euro Auctions employees and the brand.
It says that Euro Auctions has more than 200 employees in 14 countries and conducted 60 auctions last year in the United Kingdom, Northern Ireland, Germany, Spain, the United Arab Emirates, Australia, and the United States.
The company says the acquisition will also help accelerate its digital selling options and its inventory management systems that it has increasingly relied on during the COVID-19 pandemic.
Ritchie CEO Ann Fandozzi said on a conference call Monday that the deal should also yield about US$13 million in synergy cost savings.
On Friday, Ritchie reported a 15 per cent increase in net income to US$60.7 million for the second quarter.
This report by The Canadian Press was first published August 9, 2021.
Companies in this story: (TSX:RBA)
The Canadian Press
