DEERFIELD -- Caterpillar Inc. said Monday it has signed an agreement to acquire the Oil & Gas Division of Weir Group PLC, a Scotland-based engineering business, for $405 million.
The purchase price is to be paid in cash at closing. The transaction includes more than 40 Weir Oil & Gas manufacturing and services locations and about 2,000 employees. The acquisition requires approval by Weir shareholders and is subject to review by various regulatory authorities.
Headquartered near Fort Worth, Texas, the Weir oil and gas division produces a full line of pumps, flow iron, consumable parts, wellhead and pressure control products that are serviced via an extensive network of service centers located near customer operations.
"Combining Weir Oil & Gas's established pressure pumping and pressure control portfolio with Cat's engines and transmissions enables us to create additional value for customers," said Joe Crede, vice president of Caterpillar's Oil & Gas and Marine Division. "This acquisition will expand our offerings to one of the broadest product lines in the well service industry."