CANTON, Ohio, Oct. 3, 2011 /PRNewswire/ -- The Timken Company (NYSE: TKR) today announced it has completed the $92 million acquisition of Drives LLC, a leading manufacturer of highly engineered drive-chains, roller-chains and conveyor augers for the mobile and industrial machinery sectors.
(Logo: http://photos.prnewswire.com/prnh/20100210/TIMKENLOGO )
"We are pleased to welcome Drives to Timken. It is another exciting step in our diversification into power transmission and mechanical motion, and broadens our overall technology offering to customers," said Christopher Coughlin, president of Timken's Process Industries segment. "Like our other recent acquisitions, Drives further strengthens our portfolio, focusing on diverse industrial applications with ample opportunities for global expansion."
With 12-month sales of approximately $100 million, Fulton, Ill.-based Drives has 430 employees in North America. Its engineered products are vital to a wide range of mobile and industrial machinery applications, including agriculture; oil and gas; aggregate and mining; primary metals; forest products; and other heavy industries. Also attractive to Timken is the firm's strength in the food and beverage and packaged goods sectors, which require high-end, specialty products such as stainless-steel and corrosion-resistant roller chains.
"We are delighted to join forces with Timken, and look forward to pursuing new opportunities with them," said James F. Lamb, current president of Drives who will join Timken and continue to lead the new Timken Drives LLC business. "This is a powerful combination with excellent global growth prospects; we're eager to get to work, leveraging the strengths of both organizations."
The Drives acquisition is expected to be accretive to Timken earnings in its first full year with the company; financial results will be reported proportionally between the company's Mobile and Process Industries segments.
About Drives LLC
Founded in 1959, Drives is a leading manufacturer of ANSI precision roller chain, pintle chain, agricultural conveyor chain, engineering class chain, oil field roller chain and auger products, and serves markets around the world.
About The Timken Company
The Timken Company (NYSE: TKR; www.timken.com) keeps the world turning with innovative friction management and power transmission products and services that help machinery perform efficiently and reliably. With sales of $4.1 billion in 2010 and 20,000 people operating from locations in 30 countries, Timken is Where You Turn® for better performance.
Certain statements in this news release (including statements regarding the company's expectations) that are not historical in nature are "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. In particular, the statements related to expectations regarding accretion, prospects for growth, and expansion of capabilities are forward-looking. The company cautions that actual results may differ materially from those projected or implied in forward-looking statements due to a variety of important factors, including: the inability to successfully integrate the Drives business into the company's operations or achieve the expected synergies associated with the acquisition; unanticipated downturns in business relationships with customers; competitive pressures on sales and pricing; or adverse changes in the general economy or the markets served by Drives. Additional factors are discussed in the company's filings with the Securities and Exchange Commission, including the company's annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K. The company undertakes no obligation to update or revise any forward-looking statement.
Contacts - Media: Lorrie Paul Crum, Ofc: 330.471.3514; Mob: 330.224.5021. firstname.lastname@example.org; Investors: Steve Tschiegg, Ofc: 330.471.7446. email@example.com, The Timken Company.
SOURCE The Timken Company