In an agreement reached with Western Star, Freightliner will offer to purchase the outstanding shares at $42 (Canadian) per share, for an approximate purchase price of $670 million (Canadian).
The proposed acquisition of Western Star complements Freightliner's extensive array of truck products by adding a Class 8 truck line with an established owner-operator customer base and product models with proven vocational capabilities. Western Star's premium, heavy-duty trucks are ideal for logging, mining, oil field services, and other severe-service, high gross- weight applications. In addition, its custom-built, over-the-highway trucks have been highly regarded by the independent owner-operator sector.
The Western Star brand name and truck line will continue in the market, while Western Star's support operations will be integrated with Freightliner's vocational truck division Sterling Trucks. The two product lines fulfill Freightliner's strategy to offer a full truck line to owner-operators as well as expand the company's vocational truck offerings.
Look for more details tomorrow on Truckinginfo.com.