Caterpillar acquires Weir division to launch SPM Oil & Gas
By Jenny Lescohier02 February 2021
Caterpillar Inc. has completed its acquisition of Weir Oil & Gas to launch SPM Oil & Gas.
In October, Caterpillar announced its agreement to acquire Weir Oil & Gas for US$405 million from the Weir Group, a Scotland-based global engineering business.
Headquartered near Fort Worth, Texas, SPM Oil & Gas will continue to produce a full line of pumps, flow iron, consumable parts, wellhead and pressure control products that are offered via an extensive global network of service centres.
According to reports, the sale was first announced on 5 October, 2020 and approved by Weir shareholders on 23 November, 2020, but is subject to customary working capital and debt-like adjustments.
“Combining Weir Oil & Gas’ pressure pumping and pressure control portfolio with Cat engines and transmissions will provide additional value for our customers,” said Joe Creed, Caterpillar group president. “This acquisition is consistent with our strategy of providing our customers expanded offerings and services which will now be one of the broadest in the well service industry.”
The transaction includes more than 40 global service centers and approximately 2,000 employees.
“The creation of SPM Oil & Gas ensures the hard work accomplished by Weir Oil & Gas remains at the forefront of innovation and customer service,” said Jon Stanton, Weir Group CEO. “The new organisation’s products and services along with its global reach provide an excellent customer experience and opportunity for growth.”