Mining solutions world-leader Joy Global has agreed to buy bulk handling conveyor systems company, Continental Global, from NES Group for $270 million in a deal scheduled for completion in the current quarter.

Continental designs, manufactures, installs and services highly engineered conveyor solutions for customers on six continents and has manufacturing facilities in the US, UK, South Africa and Australia. The company’s 2007 sales of conveyor equipment are expected to be approximately $340 million. 

The purchase will be funded through available liquidity sources pending completion of permanent financing. All businesses of NES unrelated to conveyor equipment, including the company’s axle products business, are being retained by NES. 

Joy President and Chief Executive Officer, Mike Sutherlin: “Continental Global expands the range of products and services we can deliver to our customers, and is consistent with our strategy of adding related and highly synergistic product lines.

“Continental’s conveyor systems fit closely with our surface and underground businesses, allowing us to leverage our strong global presence in both segments.  Integrating conveyor systems into our Life Cycle Management programs will extend the impact of these programs to deliver the highest reliability in equipment and systems that are mission critical to our customers. 

“This enhances the efficiency of our existing mine site operations, and is even more important as our customers look to green field projects for future expansion,” he said.