PEORIA, Ill. (AP) — Heavy equipment maker Caterpillar Inc. has agreed to sell the Australian distributor of its Bucyrus mining equipment to one of its dealers for $400 million.
Caterpillar announced the deal on Wednesday with WesTrac Pty Limited, which already sells Caterpillar equipment. WesTrac will begin selling Bucyrus products in Western Australia and New South Wales this summer.
The Peoria, Ill., based company acquired Bucyrus last year and has said it planned to sell off Bucyrus' dealers to Caterpillar dealers worldwide.
About 430 former Bucyrus employees and contractors are expected to join WesTrac in July as part of this deal.
Caterpillar and WesTrac are still discussing the possible sale of Bucyrus dealerships in northeastern China.
Caterpillar shares rose $3.83 to $105.58 in midday trading Thursday amid a broad market advance.