Timken Acquires Intelligent Machine Solutions, Expanding Rollon® Linear Motion Solutions in Industrial Robotics

Rhea-AI Summary

The Timken Company (NYSE: TKR) has acquired Intelligent Machine Solutions (iMS), enhancing its Rollon® product line with heavy-duty industrial robotics and automation solutions. iMS, based in Norton Shores, Michigan, has approximately $6 million in annual revenues. This acquisition strengthens Timken's position in the growing $700 million robotic transfer unit industry, expanding their operational footprint in the U.S. and supporting their strategic goals in sectors like aerospace, automotive, and packaging.

Positive

• Acquisition of iMS enhances Rollon's product line in robotics.
• iMS adds capabilities in heavy-duty applications, increasing market competitiveness.
• Strengthens Timken's presence in the U.S. market, aligning with strategic objectives.
• Opens new opportunities in a $700 million robotic transfer unit market.

Negative

• Integration challenges may arise from incorporating iMS into Timken's operations.

NORTH CANTON, Ohio, Aug. 20, 2021 /PRNewswire/ -- The Timken Company (NYSE: TKR), a global industrial leader in engineered bearings and power transmission products, has acquired Intelligent Machine Solutions (iMS), a manufacturer of industrial robotics and automation solutions. The addition of iMS expands and complements Timken's Rollon® linear motion product range with larger and heavy-duty applications, such as seventh-axis robotic transfer units (RTUs) and gantry systems.

iMS, which was founded in 2008, is based in Norton Shores, Michigan, in the United States. The company, which has approximately 20 employees, designs and manufactures floor-mounted, overhead, rotary and extreme seventh-axis RTUs and gantry systems used by manufacturers across industries to automate certain production processes. iMS will increase Rollon's leadership in robotics and automation and in new and growing end-market sectors, such as packaging and marine, as well as aerospace and automotive production plants. Furthermore, the addition of iMS enhances Rollon's operational footprint in the United States, a key strategic objective for the business.

"The acquisition of iMS builds upon our established engineering expertise in power transmission and will enable us to compete more effectively and win new business in the heavy-duty linear motion space," said Rüdiger Knevels, chief executive officer of Rollon. "This deal expands our product line and creates new opportunities for us in the growing and global $700 million robotic transfer unit industry." 

Timken entered the linear motion product space in 2018 with the acquisition of Europe-based Rollon, a leader in engineered and specialized linear motion products, including linear guides, telescopic rails, and linear actuators and systems used in a wide range of industrial and commercial applications.

iMS revenues for the 12 months ended June 30, 2021 were approximately $6 million. Other terms of the transaction were not disclosed.

About The Timken Company
The Timken Company (NYSE: TKR; www.timken.com) designs a growing portfolio of engineered bearings and power transmission products. With more than a century of knowledge and innovation, we continuously improve the reliability and efficiency of global machinery and equipment to move the world forward. Timken posted $3.5 billion in sales in 2020 and employs more than 17,000 people globally, operating from 42 countries. Timken is recognized among America's Most Responsible Companies by Newsweek, the World's Most Ethical Companies® by Ethisphere, and America's Best Employers, Best Employers for New Graduates and Best Employers for Women by Forbes.

Certain statements in this release (including statements regarding the company's plans, estimates and 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 regarding the company's expectations regarding realization of synergies, end-market sector and industry growth, and business plans 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 acquire and integrate the newly acquired business into the company's operations or achieve the expected synergies associated with the acquisition; and adverse changes in the markets served by the newly acquired business. 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 for the year ended Dec. 31, 2020, quarterly reports on Form 10-Q and current reports on Form 8-K. Except as required by the federal securities laws, the company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Media Relations:
Scott Schroeder
234.262.6420
mediarelations@timken.com

Investor Relations:
Neil Frohnapple
234.262.2310
neil.frohnapple@timken.com

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SOURCE The Timken Company

FAQ

What is the purpose of Timken's acquisition of iMS?

The acquisition aims to enhance Timken's Rollon® product line and expand its market presence in heavy-duty robotics.

How will Timken benefit from acquiring Intelligent Machine Solutions?

Timken will benefit by competing more effectively in the $700 million robotic transfer unit industry and expanding into new end-market sectors.

What are the strategic goals of Timken after acquiring iMS?

The strategic goals include increasing market share in the U.S. and enhancing capabilities in sectors like aerospace and automotive.

What are the financial implications of Timken's acquisition of iMS?

iMS generated approximately $6 million in revenue over the last year, potentially contributing to Timken's growth.

When was the acquisition of iMS announced?

The acquisition was announced on August 20, 2021.