PEORIA, Ill -- Caterpillar Inc. and Platinum Equity announced Wednesday that Platinum Equity's acquisition of a majority interest in Caterpillar Logistics Services has been completed.
Caterpillar will retain a 35 percent equity stake in the business. The overall transaction is valued at approximately $750 million.
Caterpillar Logistics Services is the third party logistics division of Caterpillar's wholly owned subsidiary, Caterpillar Logistics Inc. Platinum intends to establish the business as a standalone company under a new brand that will be announced at a later date.
A team that includes Platinum in-house operations specialists is focused on transitioning the newly acquired business. A rebranding initiative is underway, and a new corporate name and image will be announced as that process unfolds.
"It is with great confidence and excitement that our business begins our new journey today. I look forward to expanding our service offerings and continuing to provide world class, innovative logistics solutions to our current and future clients," said 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."