NORTH CANTON, Ohio—Timken Co. has reached an agreement with American Industrial Partners to acquire Carlstar L.L.C.'s belts business for $220 million, the firm confirmed.
Timken said in an Aug. 3 news release that the unit recorded sales of about $140 million for 12 months ending June 30. Timken said the transaction is expected to close in third quarter of 2015 and is subject to customary government and regulatory approvals.
AIP is the private equity owner of Carlstar, which was previously Carlisle Companies Inc.'s Transportation Products business.
Carlstar produces belts under the Carlisle, Ultimax and Panther brands. Timken's release said the transaction includes belts for industrial, commercial and consumer applications. The unit employs about 750 and is headquartered in Springfield, Mo.
“Acquiring the Carlstar Belts business expands our offering in existing and complementary end markets and broadens our ability to bring customers a diverse package of premium mechanical power transmission products and services,” Timken CEO Richard G. Kyle said in the release.
Timken said Carlstar Belts bring an important new product category into its portfolio. The firm focuses on bearings, specifically tapered roller bearings, but has it also added gearboxes, chain, couplings, lubrication systems and a variety of industrial services.
Timken employs 14,000 with operations in 28 countries and 2014 sales of $3.1 billion.