The Toro Company acquired Tornado Infrastructure Equipment Ltd. (TSX-V: TGH) for CAD $279 million fully diluted equity value (CAD $1.92 per share); ~$3M USD annual run-rate cost synergies targeted, a transaction completed in December 2025, structured as all cash (cash on hand, revolver and additional financing).
Tornado Infrastructure Equipment Ltd. (TSX-V: TGH) operates in Professional (Underground & Specialty Construction), is based in Calgary, Alberta, Canada, had revenue of about approximately CAD $149 million (TTM to June 30, 2025). Announced October 6, 2025 (8-K filed October 8) and completed December 8, 2025, Toro acquired publicly held Tornado Infrastructure Equipment Ltd. of Calgary, Alberta via a plan of arrangement, buying all outstanding shares for CAD $1.92 each, a fully diluted equity value of CAD $279 million and a roughly 4% premium to the prior close. Tornado is a leading manufacturer of vacuum-excavation (hydrovac) trucks and industrial equipment for underground construction, power-transmission and energy markets, with trailing-12-month net sales (to June 30, 2025) of about CAD $149 million. Toro's Ditch Witch division had partnered with Tornado since 2022 to co-develop Ditch Witch-branded hydrovac trucks. Toro financed the deal with cash on hand, revolver borrowings and additional financing and expects roughly $3 million (USD) of annual run-rate cost synergies over three years.
The deal expands Toro's underground-construction lineup and geographic reach, builds on momentum in the Professional segment (nearly 80% of fiscal-2024 net sales), and reflects a shift toward higher-growth infrastructure markets while maintaining disciplined capital allocation.
~$3 million (USD) annual run-rate cost synergies over three years from purchasing and manufacturing efficiencies Professional segment — Underground & Specialty Construction (Ditch Witch division)
We continue to strengthen our business and product portfolio by divesting non-core assets and shifting resources toward markets with strong growth drivers like infrastructure... This acquisition builds on the momentum in our Professional segment... and expands our underground construction product lineup while maintaining our disciplined approach to capital allocation.Richard Olson, Chairman and CEO, The Toro Company
Joining The Toro Company marks an exciting new chapter for Tornado... Toro's culture and values closely align with ours, and together we will deliver innovative solutions and exceptional service to customers across the above-ground and underground infrastructure industry worldwide.Brett Newton, President and CEO, Tornado Infrastructure Equipment
Advisory firms were not disclosed for this transaction.