Mining machines maker Komatsu enters underground market with $3.7m Joy Global bid

The board of Japanese mining equipment manufacturer Komatsu has given the green light for the firm to make its biggest-ever acquisition by buying its rival, Milwaukee, Wisconsin-based Joy Global, in a bid valued at $3.7-billion, the company announced Friday. Komatsu has signed a $2.89-billion deal to acquire Joy Global and will buy, through its US subsidiary, all outstanding shares, offering $28.30 apiece – a 20% premium on Joy’s July 21 closing share price. Subject to shareholder and regulatory approvals, the acquisition is expected to close in mid-2017.