Caterpillar has completed the sales of its third party logistics business to Platinum Equity in a deal worth $750m (£477m).
Platinum is taking a 65 per cent stake in Caterpillar Logistics Services and plans to establish it as a standalone company under a new brand.
Platinum Equity Partner Jacob Kotzubei said: “Caterpillar Logistics Services has tremendous opportunity ahead of it, with dedicated employees, a rich history of innovation and a compelling customer value proposition. We look forward to building on that tradition while establishing a new identity and propelling the company to new levels of success.”
A team that includes Platinum in-house operations specialists is working on the transition process. A rebranding initiative is underway, and a new corporate name and image will be announced at a later date.
Dan Spellman, president and chief operating officer of Caterpillar Logistics Services LLC. “I am excited to work with Platinum Equity as our new majority owners. Their expertise executing seamless corporate carve-outs and their commitment to operational excellence will be great assets to our company.”
The sale does not affect Caterpillar manufacturing logistics and transport operations or Cat brand parts distribution which will continue as core businesses within Cat Logistics.
Caterpillar announced that it was considering a sale of the business in March 2011.
Platinum Equity first entered the logistics business in November 2003, when it bought Hays Logistics from Hays plc for $170m (£105m). It renamed the business ACR Logistics and two years later sold it to Kuehne + Nagel for 500m euros (£400m).