Caterpillar Receives EU Approval for Bucyrus Acquisition

8 May 2011 (Last Updated May 8th, 2011 18:30)

Construction equipment manufacturer Caterpillar has received approval from European Union (EU) antitrust regulators to buy Bucyrus International for $8.6bn. The European Commission said in a statement that the deal, which adds shovels and drills to Caterpillar's range of mining machine

Construction equipment manufacturer Caterpillar has received approval from European Union (EU) antitrust regulators to buy Bucyrus International for $8.6bn.

The European Commission said in a statement that the deal, which adds shovels and drills to Caterpillar's range of mining machinery, will not hurt competition in the 27 nation EU.

"While the transaction will result in high combined market shares worldwide, the increase in market share accounted for by Bucyrus is relatively low," the commission said.

Caterpillar is planning to spend about $3bn in capital spending this year, with more than half of that amount to be invested in US.