Peoria, Ill.-based Caterpillar Inc. last week announced that it has acquired Lovat Inc., a leading global manufacturer of tunnel boring machines used in the construction of metro, railway, road, sewer, water main, penstock, mine access, high voltage cable and telecommunications tunnels.
“This acquisition is Caterpillar’s entry into the rapidly expanding tunnel boring machine business, and it represents an excellent strategic fit for our companies and the customers we serve around the world,” said Stu Levenick, Caterpillar group president.
Lovat customers will benefit from the strength of Caterpillar’s global purchasing organization, from its research and development initiatives, Caterpillar’s global reach and its experience in large-scale manufacturing processes.
“Lovat customers are already familiar with seeing Caterpillar products working as support machines at tunnel boring projects, and we intend to leverage our global business with continued investment in the Lovat product line and in the tunnel boring business,” said Chris Curfman, Caterpillar vice president with responsibility for mining and underground products.
The financial details of the acquisition are not being released. Rick Lovat, president and CEO of Lovat Inc., will join Caterpillar’s Global Mining Division and will have responsibility for growing the tunnel boring business within Caterpillar.
Caterpillar Global Mining supplies support equipment to the surface mining sector and is the world's leading provider of production, support and technology solutions for surface and underground hard-rock mining.
Lovat Inc., headquartered in Toronto, began operations in 1972. Today with its supporting organizations, Lovat Europe and Lovat China, Lovat specializes in the custom design, manufacture and technical support of tunnel boring machines utilized in the construction of circular tunnels from 2.5 feet to 49 feet in diameter.