Post acquisition, EMD, which develops diesel-electric locomotives and offers a range of locomotive products in the rail and transit industry, will become a wholly-owned subsidiary of Progress Rail.
The acquisition will enable Progress Rail to expand its portfolio of product offerings to include electric locomotives that are expected to provide clean transportation for the public and its customers for years to come.
The company will retain John Hamilton, who will continue in his position as the president and CEO of EMD. EMD will remain headquartered in LaGrange, Illinois.
Doug Oberhelman, vice chairman and CEO of Caterpillar, said: “The acquisition of EMD is a natural fit as it supports our enterprise strategy to aggressively grow our Energy Power Systems business, of which the rail industry is an important component.
“Both EMD and Progress Rail will continue to produce innovative solutions to establish leadership positions in the US and abroad.”
