Ritchie Bros. asset management and disposition solutions include live unreserved public auctions with on-site and online bidding; EquipmentOne, an online auction marketplace; Mascus, a global online equipment listing service; private negotiated sales through Ritchie Bros.
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“Our marketing capabilities, unrivaled suite of technology and powerful multi‐channel transactional platforms will add tremendous value and make us a trusted strategic partner to the Caterpillar family”, said Ravi Saligram, Ritchie Bros. chief executive officer of Ritchie Bros., in a statement.
Ritchie Bros. also announced that it has entered into a long‐term strategic alliance with Caterpillar, making it Caterpillar’s preferred global partner for live onsite and online auctions under the agreement, which will take effect upon completion of the IronPlanet acquisition.
Ritchie Bros., the world’s largest industrial auctioneer and a leading equipment distributor, and Caterpillar announced that they have entered into a strategic alliance agreement.
Early in 2015, the online auctioneer completed a merger with Cat Auction Services which added onsite auctions to IronPlanet’s formerly online-only format. Financial Services. Ritchie Bros. has operations in 19 countries, including 44 auction sites worldwide. Ritchie Bros. closed the day up 1.51% to $28.89.
The new strategic alliance between Ritchie Bros. and Caterpillar replaces and expands on existing agreements in place between Caterpillar, its dealers and IronPlanet.
The addition of IronPlanet provides Ritchie Bros. with access to new, large customer segments, including government surplus and oil & gas.
Ritchie Bros. Auctioneers (TSE:RBA)’s stock had its “outperform” rating reiterated by equities researchers at Royal Bank Of Canada in a note issued to investors on Tuesday.
The transaction is expected to be accretive to earnings withing the first year, excluding acquistion costs.
Ritchie Bros. and IronPlanet share a passion for serving customers and providing them with easy-to-use solutions.
Analysts await Ritchie Bros.
Burnaby, Vancouver-based Ritchie, which focuses on the sale of heavy machinery, will fund the transaction with a combination of cash and new debt. It said Mr Owens had agreed to join the combined company’s executive committee upon closing.
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The partnership will be effective upon the closing of the IronPlanet acquisition, which is expected by the first half of 2017.
