Regal Beloit Corp. (RBC) said Friday it has acquired Milwaukee Gear Co. for $80 million in cash, subject to working capital adjustments.
Regal Beloit, which makes electric motors and generators, said the deal is
expected to add about $60 million in revenue for the remainder of fiscal 2012.
The company also expects the deal to add $0.03 to $0.06 to earnings per share in 2012, including the impact of purchase accounting adjustments and transaction costs, and $0.12 to $0.16 to earnings per share in 2013.
Milwaukee Gear, based in Wisconsin, makes highly engineered gearing components for oil and gas applications, as well as for other uses. Results of operations will be reported in the Mechanical segment, Regal Beloit said.
"Milwaukee Gear is a very well-managed business with an excellent reputation resulting from its application engineering excellence and its high precision manufacturing processes," said Regal Beloit CEO Mark Gliebe.
"The business will be a great fit within our Mechanical segment, allowing us to offer customers a larger range of gearing solutions while diversifying our end markets."
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