The clearance by the DOJ allows the acquisition to proceed and the transaction should close in mid-2011.
?We are very pleased about this strategic acquisition,? said Caterpillar chairman and CEO Doug Oberhelman. ?Since we announced our plan to acquire Bucyrus last November, we have continued to hear from our customers that this complementary expansion of our mining product range is what they have been looking for from Caterpillar. This will position us to better serve their increasingly complex requirements.?
Caterpillar will fund the acquisition through a combination of cash from its balance sheet and debt but will not issue equity to help pay for the acquisition. The acquisition fulfils its strategic imperative to expand its leadership in the mining equipment industry and to capitalise on the robust long term outlook for commodities driven by the trend of rapid growth in emerging markets.
Source: Caterpillar Inc, Agg-Net