GM Closes Sale of Electro-Motive Division Monday April 4, 4:30 pm ET
DETROIT, April 4 /PRNewswire/ -- General Motors Corp. (NYSE: GM - News), Greenbriar Equity Group LLC and Berkshire Partners LLC today announced that they have concluded the sale of Electro-Motive Division (EMD) by GM to an investor group led by Greenbriar and Berkshire Partners. The transaction was previously announced in January when the parties signed a sale agreement. Terms of the transaction were not disclosed.
The new company, Electro-Motive Diesel (EMD), Inc., will continue to be based in LaGrange, Illinois.
The sale covers substantially all of the Electro-Motive businesses, including North American and international locomotives; power, marine and industrial products; the spare parts and parts rebuild business; and all of Electro-Motive's locomotive maintenance contracts worldwide. Both the LaGrange, Illinois and London, Ontario manufacturing facilities are included in the sale.
General Motors, the world's largest automaker, has been the global leader since 1931. Founded in 1908, GM today employs about 324,000 people around the world. It has manufacturing operations in 32 countries and its vehicles are sold in 200 countries. In 2004, GM sold nearly 9 million cars and trucks globally, up 4 percent and the second highest total in the company's history. GM's global headquarters are at the GM Renaissance Center in Detroit. More information on GM may be found at
http://www.gm.com .
Electro-Motive employs approximately 2,600 hourly and salaried people. The company designs, manufactures, markets, sells, and services freight and passenger diesel-electric locomotives and diesel marine and power generation products for use worldwide. Since the early 1930s, Electro-Motive and its associates have produced more than 58,000 diesel-electric locomotives for customers in 73 countries. Electro-Motive diesel engines are used in over 100 countries worldwide. Additional information may be found at
http://www.EMDiesels.com .
Greenbriar Equity Group LLC is focused exclusively on making private equity investments in the global transportation industry, including companies in freight and passenger transport, commercial aerospace, automotive, logistics, and related sectors. Greenbriar and Berkshire Partners LLC have entered into a strategic joint venture and co-investment agreement to address transportation and related investment opportunities. Greenbriar manages $700 million of committed limited partner capital and co-investment commitments and, together with Berkshire, has access to more than $1 billion for investment in privately negotiated equity investments within the transportation industry. Additional information may be found at
http://www.greenbriarequity.com .
Berkshire Partners has invested in mid-sized private companies for the past twenty years through six investment funds with aggregate capital commitments of approximately $3.5 billion. The firm's investment strategy is to seek companies that have strong growth prospects and to partner with talented management teams who are interested in being owners of the companies they operate. Berkshire has developed specific industry experience in several areas including consumer products, industrial manufacturing, transportation, communications, business services, and retailing and related services. Berkshire has been an investor in over 80 operating companies with more than $12.0 billion of acquisition value and combined revenues in excess of $15.0 billion. Additional information may be found at
http://www.berkshirepartners.com .
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Source: General Motors Corporation
