Titan International Signs Agreement to Sell ITM Business for Up to $285 Million
Titan International (NYSE:TWI) has signed a definitive agreement to sell its Italtractor ITM undercarriage business to USCO S.p.A. The initial purchase price is approximately $207 million, with the total potential cash value reaching up to $285 million when including closing adjustments and performance-based earnouts. The company expects around $23 million from closing adjustments and an additional $11 million in dividends before the transaction closes. A further $6 million depends on ITM meeting 2026 performance criteria, while historical dividends of $38 million are also included in the headline figure. After accounting for these items, Titan could receive up to approximately $247 million in future gross receipts. Titan plans to use part of the proceeds from the sale to reduce debt and invest in growth opportunities such as acquisitions or partnerships. The transaction is expected to close early January 2027, pending regulatory approvals.
Tickers: $TWI.TEN
Topics: Capital Allocation Debt Reduction M&A