Beloit to sell engineered drives and control systems
BELOIT — Regal Beloit
Corporation announced Wednesday it has entered into an agreement to
sell its highly engineered drives and control systems business to an
affiliate of Sun Capital Partners, Inc.
With 2018 estimated revenue of $131 million, Regal Drive
Technologies has 450 employees around the world. The business
designs and manufactures engineered controls, starters and drives.
The closing of the transaction is subject to customary regulatory
approvals and is expected to occur by the end of the first quarter
“This transaction is consistent with our enterprise strategy to
focus, innovate and simplify,” said Chairman and Chief Executive
Officer Mark Gliebe in a statement. “We believe it will allow us to
put more focus on our core businesses.”
Regal expects the divested businesses to deliver an estimated $0.18
diluted earnings per share for the full year 2018. Management
expects to discuss the transaction in greater detail during the
company’s next earnings call.