Caterpillar (NYSE: CAT) has agreed to acquire coal-mining equipment manufacturer Bucyrus International (NSDQ: BUCY) for $92 per share in an all-cash deal. Shares of the Wildcatters Portfolio holding currently trade at a slight discount to that $92 takeover price. The deal won’t close for at least a few months, so it’s not worth tying up your capital to earn an additional 2 percent return.

Bucyrus has been one of my favorite plays on resurgent demand for coal, particularly in Asia. I also liked the deal Bucyrus closed roughly a year ago to buy the mining equipment division of Terex (NYSE: TEX), a move that enhanced its already market-leading product line.

Apparently, I’m not the only one who liked the Bucyrus story. Caterpillar already has a mining equipment division, but CEO Doug Oberhelman noted that its customers have asked the firm to expand its range of specialized mining products.  This deal gives Caterpillar an instant lead in one of the world’s fastest-growing machinery markets and will be a good deal for Caterpillar, despite the 30 percent- plus premium it’s paying to get Bucyrus.

I still like the prospects for the mining equipment industry; the most obvious remaining play would be Joy Global (NSDQ: JOYG). Shares of Joy Global popped based on enthusiasm about this deal and look extended right now. Still, this is one name I’ll be watching.