Husqvarna acquires assets of Dixon Industries in US

7/3/2006 2:00 AM EST

Husqvarna has signed an agreement to acquire the assets of Dixon Industries Inc
in the US, a subsidiary of Blount International Inc.

Dixon manufactures zero-turn riding lawnmowers for both professional users and private consumers. In 2005, Dixon had sales of USD 54.4m and an operating income of USD 3.1m.

The acquisition will strengthen Husqvarna’s position in the US market within the growing Zero-turn segment. Dixon’s products, brand and distribution network complement the Group’s existing operation in North America. Production of Dixon products will be transferred to the Husqvarna plant in Nebraska.

The acquisition is expected to be completed at the end of July, and is not expected to have any major impact on Husqvarna’s financial position. The operation will be included in the Group’s Professional Products business area.

“Dixon is a well-known brand with strong distribution in the servicing dealer channel. By combining our two operations we can achieve substantial synergies in product development and manufacturing, says Bengt Andersson, President and CEO of Husqvarna.