Milwaukee-based J. Jeffers & Co. has dropped plans to purchase the corporate headquarters of Racine-based Twin Disc.
The Twin Disc headquarters building at 1328 Racine St. hit the market as the manufacturer of power transmission equipment planned to consolidate operations into its facility at 4600 21st St. in Racine.
In March, the company announced it had reached an agreement for Jeffers to buy the more than 180,000-square-foot building for $3.25 million.
But in a securities filing this week, Twin Disc said Jeffers had provided notice it would terminate the agreement. The filing said the notice was pursuant to a portion of the agreement covering buyer’s contingencies, including environmental review, physical inspection, document inspection, appraisal contingency, buyer’s intended use, and condition of title and survey.
The document listed multi-family/museum as the intended use.
Josh Jeffers, president and CEO of J. Jeffers, and John Batten, CEO of Twin Disc, did not immediately respond to emails seeking additional comment on the decision.
In an earnings call Thursday, Batten acknowledged the deal would not be closing and said Twin Disc is in active conversations with an alternative buyer. He said the company intended to be out of the building by December.