News: Remy International agrees to sell diesel remanufacturing business to Caterpillar Inc.
Remy International, Inc. has announced the signing of an agreement for the sale of its light and medium truck diesel engine and component remanufacturing business conducted by Franklin Power Products, Inc. and International Fuel Systems to Caterpillar Inc
Monday, 12th February 2007
The purchase price is subject to adjustment for net investment in the business, including working capital, at closing. The transaction is subject to customary closing conditions, and is expected to close before the end of the first quarter of 2007. "The sale to Caterpillar represents a strategic opportunity to realise value for our stakeholders, " said John Weber, President and Chief Executive Officer of Remy International. "This business has performed very well, which is a testament to the total commitment of the employees to quality and lean manufacturing. I want to thank these employees for their dedication and efforts. " "This acquisition represents an excellent strategic fit between Cat Reman and these two companies. It increases our overall product and service offering, and will provide a platform for future growth opportunities for Cat Reman, " said Steve Fisher, Caterpillar vice president with responsibility for remanufacturing.