Cat Buys Diesel, Fuel Systems Reman Groups
Adding another piece to its ever expanding remanufacturing operations, Caterpillar Inc. said it is acquiring certain assets of Franklin Power Products, Inc. and International Fuel Systems, Inc., both subsidiaries of Remy International. The acquisition agreement was signed on January 31, 2007. The deal is expected to close soon and is subject to the completion of legal and regulatory requirements, Cat said.
Franklin Power Products is a remanufacturer of on-highway light- and medium-duty truck diesel engines and engine components. International Fuel Systems is a provider of remanufactured diesel engine components such as high pressure fuel pumps, fuel injectors and turbochargers.
"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. "We intend to facilitate growth by applying our competencies of core management, salvage technology expertise and process efficiency improvement to Franklin Power Products and International Fuel Systems. This will help Cat Reman to improve our range of products and services offered to customers in the on-highway segment.
"We look forward to providing quality remanufactured engine products and core management services on a global basis to these customers as well," Fisher said. "Additional product offerings may be considered in the future as customer needs and opportunities are identified."
The acquired businesses will join 14 other Caterpillar remanufacturing facilities located in the