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Caterpillar Deals To Buy Bucyrus For $7.6 Billion Caterpillar Deals To Buy Bucyrus For $7.6 Billion :Caterpillar said the deal is the biggest acquisition in the company's history. Bucyrus shareholders are slated to receive $92 a share, a 32% premium to the company's stock price on Friday. Shares opened roughly 30% higher this morning, and share prices of other mining and equipment companies, including Joy Global, Terex and Manitowoc, also opened higher. Caterpillar is taking advantage of low interest rates and cheap financing; the company plans to fund the deal with cash on hand, debt and up to $2 billion in equity.The purchase price works out to $92 per share, a 32 percent premium to Bucyrus' closing price on Friday. The deal, which is valued at $8.6 billion including debt, is expected to close in mid-2011.Bucyrus is based in South Milwaukee, Wis. It makes surface mining equipment used for mining coal, copper, iron ore, oil sands and other minerals.The deal requires approval by regulators and Bucyrus shareholders.Caterpillar of Peoria, Ill., said Monday it's buying the company to expand its mining business and take advantage of rapid growth in emerging markets.To land...more
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