Malaysia’s Sime Darby has expanded its Caterpillar dealership business with the acquisition of the Gough Group.
Sime Darby, which is listed on the Kuala Lumpur Stock Exchange, announced that it will acquire the Gough Group through a New Zealand subsidiary company, Sime Darby (NZ) Holdings Ltd, for NZ$211M.
The Gough Group has a 90-year history with Caterpillar, and is the second oldest Caterpillar dealer in the world outside of the United States. The business has produced very large orders in the past, some involving upwards of 90 machines, from NZ’s biggest miners. These include GRD Macraes (now Macraes Mining) for its gold mine at Macraes Flat in Otago and Solid Energy’s opencast coal mine in Westport.
Gough Group is a privately held company with several subsidiaries across construction, infrastructure, transport and power system industries, distributing brands SAF, Palfinger and WABCO in New Zealand and Australia. Gough Materials Handling is also a Hyster dealer in New Zealand.
“The Gough Group transaction, which would be the largest for Sime Darby Berhad since the pure play restructuring exercise in 2017, provides a rare opportunity for us to enhance our relationship with Caterpillar, and gain exposure to the construction and forestry sectors in New Zealand, further reinforcing Sime Darby Industrial’s footprint in the Asia Pacific region,” said Dato’ Jeffri Salim Davidson, Sime Darby Berhad’s Group CEO.
In a customer announcement, the Gough Group stated: “Although the Gough family is sad to see the end of an almost 100-year legacy of Gough family ownership, we can be excited about the future direction of the business and joining the same stable as Hastings Deering.
“You can expect a smooth transition as Caterpillar dealers around the world look to provide consistency, no matter who owns them or what country they operate in. Caterpillar and the existing shareholders want to see the transition take place as smoothly as possible.”