Alamo Group Completes Acquisition Of Herder Implementos e Maquinas Agricolas Ltda.

SEGUIN, Texas, March 10, 2015 /PRNewswire/ -- Alamo Group Inc. (NYSE: ALG) announced today it has completed the acquisition of Herder Implementos e Maquinas Agricolas Ltda. in Brazil.

Herder is a manufacturer of flail mowers and other agricultural implements which are sold direct and through dealers to the sugar cane, orchard and other agricultural markets as well as for roadside maintenance.  Sales in 2014 were under U.S. $3 million.

Herder is located in Matao, Sao Paulo, and was founded in 2006.  The Company has 19 employees and Hudson Aparecido Martins, one of the selling shareholders, will continue with Herder under Alamo's ownership.

Ron Robinson, Alamo Group's President and Chief Executive Officer commented, "While this acquisition is immaterial from a financial point of view, we believe it is a noteworthy step in Alamo's development. Establishing a presence in Brazil has been an objective for our Company as it is one of the largest agricultural markets in the world.  We see this as a first step in establishing a position in the market from which we can pursue both organic growth and further acquisitions.

"Brazil also has developing needs for infrastructure maintenance equipment which fits Alamo's capabilities.  So, while we are starting small in Brazil, the combination of Herder's local presence with Alamo's product range and financial support should offer long term growth potential."

Alamo Group is a leader in the design, manufacture, distribution and service of high quality equipment for infrastructure maintenance, agriculture and other applications. Our products include truck and tractor mounted mowing and other vegetation maintenance equipment, street sweepers, snow removal equipment, excavators, vacuum trucks, other industrial equipment, agricultural implements and related after-market parts and services. The Company, founded in 1969, has approximately 3,100 employees and operates 25 plants in North America, Europe, Australia and Brazil as of December 2015.  The corporate offices of Alamo Group Inc. are located in Seguin, Texas and the headquarters for the Company's European operations are located in Salford Priors, England.

Forward Looking StatementsThis release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.  Forward-looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to differ materially from forecasted results. Among those factors which could cause actual results to differ materially are the following: market demand, competition, weather, seasonality, currency-related issues, and other risk factors listed from time to time in the Company's SEC reports.  The Company does not undertake any obligation to update the information contained herein, which speaks only as of this date.

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SOURCE Alamo Group Inc.