KOBELCO to Acquire CNH’s Case, New Holland Construction Equipment Business

KOBELCO Construction Machinery has agreed to acquire CNH Industrial’s construction equipment business and its affiliates, which includes the Case Construction Equipment, New Holland Construction Equipment and Eurocomach brands.

The transaction values CNH’s Construction Equipment business at $1 billion. CNH expects to receive $700 million in cash consideration for 70% of the business. The transaction is expected to close by the end of 2027, subject to regulatory approvals and other customary closing conditions.

With global demand for construction equipment expected to grow over the long term, KOBELCO stands to benefit from a broader range of products, an expanded global dealer base and after-sales support, and access to CNH’s proprietary technology suite through the acquisition.  

KOBELCO currently offers hydraulic excavators and cranes, while CNH Industrial’s construction product portfolio ranges from small- and medium-sized construction equipment to large equipment, including backhoe loaders, compact dozer loaders, compact track loaders, compaction equipment, dozers, excavators, forklifts, mini track loaders, motor graders, skid steer loaders, small articulated loaders, tractor loaders, wheel loaders and related attachments.

CNH Industrial has grown its product and technology portfolio over the past several years through a series of partnership agreements and acquisitions:

• Case CE and Bell Equipment — Case announced in March at ConExpo 2026 an agreement with South Africa-based Bell to produce three large motor graders, ranging from 250 to 350 horsepower. Under the agreement, Case will have exclusive distribution across the United States and Canada for the models manufactured at Bell facilities.
• In 2023, Case and New Holland signed a partnership with Tobroco-Giant of The Netherlands to produce their compact and small articulated loaders for North America. Case launched its new SL27 small articulated loader this year, under the deal and now offers seven models. New Holland also offers seven SAL models.
• CNH Industrial and Hemisphere — In 2023, CNH Industrial also acquired Hemisphere GNSS, a manufacturer of satellite positioning technology solutions. The company designs both electronic systems and software solutions. Its GradeMetrix and SiteMetrix systems are designed to be affordable intuitive solutions for small to mid-sized contractors.
• In 2021, CNH Industrial purchased Italian construction equipment manufacturer Sampierana S.p.A., the manufacturer of Eurocomach compact and midi excavators and custom undercarriages.

In North America, Case CE ranks sixth in new financed equipment sales from September 2025 to August 2026, with 5,057 units sold, according to Fusable’s EDA. New Holland ranked eight during the period with 2,064 units sold. (Equipment World and EDA are owned by Fusable). Eurocomach’s line of compact construction equipment is only sold in Europe.

KOBELCO and CNH Industrial have entered into a share purchase agreement for the transaction, according to a November 9 announcement, with CNH expected to transfer the business to the newly established entity, NewCo. CNH will remain involved as a minority shareholder.

“The transaction will enable Kobelco Construction Machinery to reach more customers worldwide by drawing on the parties' product portfolios and sales and service networks,” KOBELCO said. “Insights gained from serving this broader customer base will help Kobelco Construction Machinery enhance its parts offerings, aftermarket services, and solutions. These improvements will deliver greater value to customers and support sustainable business growth.”

For CNH, the selloff continues its transition to a pure-play agriculture equipment, technology, and services company. At closing, CNH will continue to provide full-line agriculture applications through the Case IH, New Holland, STEYR, and CNH Tech brands, including the Raven precision technology platform. In 2019, CNH separated its on-highway and off-highway businesses with the spinoff of its Iveco commercial vehicles and powertrains. 

“We are confident that this is the right next step for CNH, our dealers, customers, and colleagues,” said Gerrit Marx, Chief Executive Officer of CNH. “As the agriculture industry moves toward recovery, this transaction strengthens CNH’s ability to invest in the products and technologies that matter most to farmers. At the same time, by creating a stronger construction equipment player, both CNH and CE JV dealers, along with their customers, will benefit from a suite of high-quality, cost-competitive construction machines that incorporate leading technology.”

Marx continued, “We undertook a comprehensive process to evaluate how best to position our Construction Equipment business, and it was clear that KOBELCO is the right long-term steward, and that our joint venture approach will ensure a smooth transition for the business and our team members who support it. The CE JV will be a leader with the scale, focus, and agility to invest, accelerate innovation, and better serve global construction customers.”

To achieve its growth objectives, KOBELCO says it will focus on the following three areas:

• Strengthening the Global Business Foundation for Growth: Capitalize on the CNH CE business’s established presence in North America and Latin America to reach more customers and expand sales opportunities in the regions, as well as build a more geographically balanced business and enhanced ability to serve customers worldwide.
• Combining Complementary Product Portfolios and Technologies: Offer customers a wider range of equipment suited to different applications, while strengthening the competitiveness of its products by building on the CNH’s technologies and expertise. Through its partnership with CNH, Kobelco Construction Machinery intends to combine CNH’s global navigation satellite system (GNSS) technologies and other capabilities with its own digital solutions for construction, including K-DIVE, to broaden its range of solutions for jobsite challenges.
• Expanding the Aftermarket Business: Enhance parts offerings and aftermarket services for more customers through a larger installed base of sales and service networks to deliver deeper customer relationships after the sale while strengthening its earnings base.

Along with news of the acquisition, CNH posted flat consolidated revenues for the third quarter of 2026 today.

The company also cited the KOBELCO acquisition in its earnings report as part of its strategy to become the “largest pure-play agriculture machinery OEM.”

“The combination of our third-quarter results and our agreement with KOBELCO regarding our Construction Equipment business reflect clear progress in the execution of our strategy,” Marx said. 

“… CNH’s agreement with KOBELCO follows a deliberate process to strengthen our construction business and sharpen our focus on our agriculture business. The transaction positions CNH as the largest pure-play agriculture machinery OEM, with the ability to invest organically and inorganically as the agriculture industry moves toward recovery.”

CNH reported a 5% increase in net sales in construction equipment in the third quarter, citing higher volumes in North America that were partly offset by lower sales in South America.

Its construction earnings increased from $14 million to $65 million, a large part of which came from $62 million in refunds for paying U.S. tariffs the Supreme Court ruled as illegal. The company said it will reinvest the refunds to accelerate its transformation.

"We reinvested approximately 35% of tariff refunds received in the quarter in selective time-limited one-time efforts to clear aged inventory and accelerate our transformation,” Marx said. “Our Agriculture segment used almost half of its refunds received in Q3 and will have reinvested over 90% by year end in discrete time-limited priorities. Although current conditions in EMEA and Brazil remain volatile, improving cycle indicators in North America reinforce our confidence in the path ahead.”

CNH also updated its expected construction segment net sales to 8% to 10% year-over-year from 5% to 10%.

This is not the first time that KOBELCO and CNH Industrial have been linked. The companies had a 10-year alliance from 2002 to 2012, during which KOBELCO America Holdings transferred 65% of its shares in KOBELCO Construction Machinery America to CNH and shared its excavator technology. KOBELCO's sales and marketing rights during the period were limited to Asia and the Pacific area, excluding Australia. 

Completion of the KOBELCO acquisition is subject to necessary regulatory clearances and customary closing conditions. Additional information on products and services arising from future collaboration, including availability by region and launch timing, will be announced as plans are finalized.