CNH sells 70 percent of its construction equipment business to Kobelco in $1 billion deal
The agriculture-focused company forms a joint venture with Kobelco, receiving $700 million cash plus a 30 percent stake, with closing targeted for end-2027.
CNH Industrial has agreed to form a joint venture by selling a 70 percent interest in its construction equipment business — the Case Construction and New Holland Construction brands — to Kobelco Construction Machinery, a subsidiary of Kobe Steel, in a deal valuing the business at an enterprise value of $1 billion. CNH receives $700 million in cash plus a 30 percent stake in the JV, which combines Kobelco's excavator and crane technology — including its K-DIVE remote-operation capability — with CNH's dealer network. Closing is expected at the end of 2027, pending regulatory approvals.
The transaction sharpens CNH into a pure-play agriculture company while consolidating construction equipment under a Japanese OEM investing in remote operation and machine data. For equipment buyers and contractors, including in Southeast Asia, the Case and New Holland construction lines face a brand, distribution and support transition over the next two years — fleet data and telematics integrations tied to those brands will follow the JV's roadmap. The deal is the latest in a stretch of consolidation among equipment and construction-technology vendors as players focus capital on technology investment at scale.