Caterpillar to Acquire Berg Propulsion, Significantly Expanding Customer
Options for Advanced Marine Power Solutions
PEORIA, Ill., July 1, 2013
PEORIA, Ill., July 1, 2013 /PRNewswire/ -- Caterpillar Inc. (NYSE: CAT) has
signed a definitive agreement to acquire Johan Walter Berg AB, including its
core brand of Berg Propulsion, a leading manufacturer of mechanically and
electrically driven propulsion systems and marine controls for ships. With the
acquisition, Caterpillar will transition from selling only engines and
generators to providing complete marine propulsion package systems.
Headquartered in Ockero Islands, Sweden, Berg has designed and manufactured
heavy-duty marine thrusters and controllable pitch propellers since 1929. Its
proprietary systems are employed in maritime applications throughout the world
that require precise maneuvering and positioning.
"Berg is one of the most highly regarded brands in the marine industry," said
Tom Frake, Caterpillar vice president with responsibility for the Marine and
Petroleum Power Division. "Our team will now be able to provide worldwide
Caterpillar support to marine operators for a complete, optimized propulsion
package, including bow thrusters, gear boxes and shaft alternators. In
addition, Berg's expertise, focus on maximizing customers' uptime and
minimizing operation cost aligns well with Caterpillar's value proposition."
Berg will become part of the Caterpillar Marine and Petroleum Power Division,
which supplies diesel and natural gas engines for the generation, control and
supply of mechanical and electric power for the marine and petroleum
"This marks the beginning of an exciting new chapter in our company's history
and is a chance to become part of the strongest brands – both Caterpillar and
MaK – in our industry," said Hakan Svensson, Berg's Chief Executive Officer.
"Berg has proudly served the marine industry for 101 years, always striving to
provide the best economical and environmentally sound customer solutions. We
look forward to developing and providing an even greater portfolio of products
and services for ship owners around the world."
Berg's thrusters, propellers and control systems will be rebranded as
Caterpillar soon after the close of the deal, which is expected in the third
quarter 2013, pending final regulatory approvals.
For more than 85 years, Caterpillar Inc. has been making sustainable progress
possible and driving positive change on every continent. With 2012 sales and
revenues of $65.875 billion, Caterpillar is the world's leading manufacturer
of construction and mining equipment, diesel and natural gas engines,
industrial gas turbines and diesel-electric locomotives. The company also is a
leading services provider through Caterpillar Financial Services, Caterpillar
Remanufacturing Services and Progress Rail Services. More information is
available at: http://www.caterpillar.com.
Berg Propulsion is one of the world's leading designers and producers of
Controllable Pitch Propellers for the shipping industry. Our strength lies in
exceptional functional and technical expertise coupled with extensive industry
knowledge. We deliver fully customized main propellers, azimuth thrusters,
transverse thrusters and manoeuvre systems, and 24-hour service. Berg
Propulsion operates from state-of-the-art production facilities in Sweden and
Singapore, with sales and marketing offices in China (Shanghai and Guangzhou),
Turkey, Dubai, Singapore, Germany, Spain, Brazil, Italy, West Africa, India,
South Korea and the Swedish west coast. For more information, visit
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"estimate," "will be," "will," "would," "expect," "anticipate," "plan,"
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availability of raw materials and component products, including steel;
(iv)our and our customers', dealers' and suppliers' ability to access and
manage liquidity; (v)political and economic risks and instability, including
national or international conflicts and civil unrest; (vi)our and Cat
Financial's ability to: maintain credit ratings, avoid material increases in
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credit worthiness of Cat Financial's customers; (viii) changes in interest
rates or market liquidity; (ix) changes in financial services regulation; (x)
inability to realize expected benefits from acquisitions, including ERA Mining
Machinery Limited, and divestitures, including the divestiture of the Bucyrus
International, Inc. distribution business to our independent dealers;
(xi)international trade and investment policies; (xii)market acceptance of
our products and services; (xiii)changes in the competitive environment,
including market share, pricing and geographic and product mix of sales; (xiv)
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(xx)our or Cat Financial's compliance with financial covenants;
(xxi)increased pension plan funding obligations; (xxii)union disputes or
other labor matters; (xxiii) significant legal proceedings, claims, lawsuits
or investigations; (xxiv)compliance requirements imposed if carbon emissions
legislation and/or regulations are adopted; (xxv)changes in accounting
standards; (xxvi)failure or breach of information technology security;
(xxvii)adverse effects of natural disasters; and (xxviii)other factors
described in more detail under "Item 1A. Risk Factors" in our Form10-K filed
with the SEC on February19, 2013 for the year ended December31, 2012. This
filing is available on our website at www.caterpillar.com/secfilings.
SOURCE Caterpillar Inc.
Contact: Caterpillar U.S.: Rachel Potts, Corporate Affairs, Office: +1 (309)
675-6892, Mobile: +1 (309) 573-3444, Potts_Rachel_A@cat.com, or Caterpillar
Europe: Erik De Leye, Corporate Affairs, Office: +32 2 550 3537, Mobile: + 32
475 691 799, De_Leye_Erik@cat.com; or Berg: Christian Lundquist, Chief
Marketing Officer, Mobile: +46 768 290 893, email@example.com
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