The transaction, taking place entirely in cash, includes Kaydon’s $95m in debt.
Kaydon is a manufacturer of friction control, velocity control, and speciality products. The company’s products are used in industries such as aerospace, energy, defence, medical, material handling, and machine tool.
Tom Johnstone, SKF president and CEO, said, ‘We have followed the development of Kaydon for a long time. They have a strong product portfolio, strong management and a solid financial performance and I am delighted that they will soon be part of the SKF Group. The complementary nature of their products and technologies, their geographical and customer presence and their manufacturing footprint will enable us to even better serve our customers and distributors in the industrial market worldwide. In particular this acquisition, combined with our other activities, investments and acquisitions in the last few years, shows our strong commitment to the North American market.’
James O’Leary, chairman and CEO of Kaydon Corporation said, ‘Our Board believes that the proposed transaction represents a compelling value for our shareholders. We believe that this transaction represents an excellent strategic fit for Kaydon that will allow our market leading businesses to accelerate their growth strategies by joining forces with SKF.’
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