Seven Group Holdings Limited
(ASX:SVW) subsidiary WesTrac China has inked a deal to acquire Caterpillar Global Mining's distribution and support business in provinces where WesTrac operates in north-eastern China.
WesTrac says it expects to begin providing sales, service and support for expanded mining products in these territories after closing the sale.
The transaction is valued around $US130 million, with Seven Group to fund the deal through a new five year debt facility
WesTrac estimates the annual revenue for the acquired distribution and support business to be in the range of $US210 million to $US250 million for the upcoming 2015 financial year.
Seven generated a net profit of $488.6 million in fiscal 2013.
