BLOOMINGTON – The Toro Company (NYSE: TTC) announced on Monday it has finalized the acquisition of Tornado Infrastructure Equipment Ltd. (TSX-V: TGH), a move that significantly expands its position in the fast-growing vacuum excavation market.
The all-cash transaction, valued at 279 million Canadian dollars, was funded through the company’s existing credit facilities and additional financing. Tornado, based in Calgary, Alberta, is a leading manufacturer of hydrovac excavation systems used in underground construction, power transmission, and energy sectors.
The acquisition strategically complements Toro’s portfolio of underground construction brands, which includes Ditch Witch and American Augers. Tornado generated approximately CA$161 million in net sales over the trailing twelve months ended September 30, 2025.
“We are pleased to welcome the talented Tornado team,” said Richard Olson, Chairman and CEO of The Toro Company. “This addition strengthens our leadership in underground construction and enables us to capture a greater share of the rapidly growing infrastructure space, delivering sustained value to our shareholders.”
The company stated the deal is expected to be marginally accretive to adjusted earnings per share in the first year post-closing, becoming increasingly accretive thereafter. Toro anticipates achieving annual run-rate cost synergies of US$3 million within three years through operational efficiencies, with additional revenue synergies expected over time.
Hydrovac technology, which uses pressurized water and vacuum systems to safely excavate around critical underground infrastructure, is becoming a standard method in North America, reducing damage and improving worksite safety.
Toro plans to provide detailed financial guidance for the acquisition’s impact on fiscal 2026 during its fourth-quarter earnings call scheduled for December 17.
About The Toro Company
The Toro Company (NYSE: TTC) is a leading global provider of solutions for the outdoor environment. With net sales of $4.6 billion in fiscal 2024, its family of brands helps customers maintain golf courses, sports fields, public green spaces, construction sites, and residential and agricultural properties worldwide.