Regal Beloit buys Alstom's motors & fans business here

LONDON: Regal Beloit Corporation on Sunday announced that the company has acquired Alstom’s motors and fans business in India. The business, which is located in Kolkata, manufactures and markets a full range of low and medium voltage industrial motors and fans for the industrial and process markets in India.

Alstom is noted for high-quality process duty motors with a full range from 1-3500 hp. The business will be reported as part of the company’s electrical segment. Terms of the deal were not disclosed. The purchase price was paid in cash.

Regal Beloit expects the business to add around $10 million and $80 million to sales for the fourth quarter of 2007 and full year 2008, respectively. It is expected that the acquired business will be effectively neutral to diluted earnings per share for 2007 and add between $.06 and $.08 to diluted earnings per share in 2008, including planned synergies.

According to Henry W Knueppel, chairman and CEO of Regal Beloit, “The acquisition of the Alstom India industrial motor and fan business is another significant step in the execution of our globalisation initiative. We intend to maximise the capabilities of our manufacturing footprint to benefit all RBC businesses.”

Regal Beloit is a leading manufacturer and marketer of branded mechanical and electrical motion control and power generation products serving markets throughout the world. Regal Beloit has manufacturing, sales, and service facilities throughout the US, Canada, Mexico, Europe and Asia.