Timken to Expand Motion-Control Platform, Capabilities with Acquisition of CGI Inc.
The Timken Company (NYSE: TKR) has agreed to acquire CGI Inc., a Nevada-based manufacturer of precision drive systems. This acquisition will expand Timken's motion-control platform and capabilities, creating an unmatched portfolio of precision drives. CGI specializes in medical robotics and serves various automation markets. The deal is expected to close in Q3 2024, subject to regulatory approval.
CGI's offerings complement Timken's Cone Drive and Spinea products. The acquisition aligns with Timken's strategy to diversify and expand in industrial motion. CGI, founded in 1967, is expected to generate around $45 million in sales in 2024. Timken will fund the transaction with cash and existing credit facilities. This move further solidifies Timken's position as a global leader in automation and robotic solutions.
La Timken Company (NYSE: TKR) ha concordato di acquisire CGI Inc., un produttore di sistemi di trasmissione di precisione con sede in Nevada. Questa acquisizione espanderà la piattaforma e le capacità di controllo del movimento di Timken, creando un portafoglio di trasmissioni di precisione senza pari. CGI è specializzata in robotica medica e serve vari mercati di automazione. Si prevede che l'affare si chiuderà nel terzo trimestre del 2024, soggetto all'approvazione normativa.
Le offerte di CGI completano i prodotti Cone Drive e Spinea di Timken. L'acquisizione è in linea con la strategia di Timken di diversificare ed espandersi nel settore del movimento industriale. Fondata nel 1967, CGI dovrebbe generare circa 45 milioni di dollari in vendite nel 2024. Timken finanzierà la transazione con liquidità e strutture di credito esistenti. Questo movimento ulteriormente consolida la posizione di Timken come leader globale nelle soluzioni di automazione e robotica.
La compañía Timken (NYSE: TKR) ha acordado adquirir CGI Inc., un fabricante de sistemas de transmisión de precisión con sede en Nevada. Esta adquisición ampliará la plataforma y las capacidades de control de movimiento de Timken, creando un portafolio inigualable de transmisiones de precisión. CGI se especializa en robótica médica y atiende a varios mercados de automatización. Se espera que el acuerdo se cierre en el tercer trimestre de 2024, sujeto a la aprobación regulatoria.
Las ofertas de CGI complementan los productos Cone Drive y Spinea de Timken. La adquisición está alineada con la estrategia de Timken de diversificarse y expandirse en el movimiento industrial. Fundada en 1967, se espera que CGI genere alrededor de 45 millones de dólares en ventas en 2024. Timken financiará la transacción con efectivo y líneas de crédito existentes. Este movimiento refuerza aún más la posición de Timken como líder global en automatización y soluciones robóticas.
팀켄 컴퍼니 (NYSE: TKR)는 네바다에 본사를 둔 정밀 드라이브 시스템 제조업체 CGI Inc.를 인수하기로 합의했습니다. 이번 인수는 팀켄의 모션 제어 플랫폼 및 역량을 확장하여 독보적인 정밀 드라이브 포트폴리오를 만들 것입니다. CGI는 의료 로봇 공학에 전문화되어 있으며, 다양한 자동화 시장에 서비스를 제공합니다. 이 거래는 규제 승인을 조건으로 2024년 3분기에 종료될 것으로 예상됩니다.
CGI의 제품은 팀켄의 콘 드라이브 및 스피네아 제품을 보완합니다. 이번 인수는 팀켄의 산업 모션 다각화 및 확장 전략과 일치합니다. 1967년에 설립된 CGI는 2024년에 약 4,500만 달러의 매출을 기록할 것으로 예상됩니다. 팀켄은 현금 및 기존 신용 시설을 통해 거래를 자금 지원할 것입니다. 이번 조치는 팀켄이 자동화 및 로봇 솔루션 분야의 글로벌 리더로서의 위치를 더욱 공고히 강화합니다.
La Timken Company (NYSE: TKR) a accepté d'acquérir CGI Inc., un fabricant de systèmes de transmission de précision basé dans le Nevada. Cette acquisition élargira la plateforme et les capacités de contrôle du mouvement de Timken, créant un portefeuille inégalé de transmissions de précision. CGI est spécialisée dans la robotique médicale et dessert divers marchés de l'automatisation. L'accord devrait se conclure au troisième trimestre 2024, sous réserve de l'approbation réglementaire.
Les offres de CGI complètent les produits Cone Drive et Spinea de Timken. L'acquisition s'inscrit dans la stratégie de Timken de diversifier et d'élargir son activité dans le mouvement industriel. Fondée en 1967, CGI devrait générer environ 45 millions de dollars de ventes en 2024. Timken financera la transaction avec des liquidités et des facilités de crédit existantes. Ce mouvement renforce davantage la position de Timken en tant que leader mondial des solutions d'automatisation et de robotique.
Die Timken Company (NYSE: TKR) hat sich darauf geeinigt, CGI Inc., einen in Nevada ansässigen Hersteller von Präzisionsantriebssystemen, zu erwerben. Diese Übernahme wird die Plattform und die Fähigkeiten von Timkens Bewegungssteuerung erweitern und ein unvergleichliches Portfolio an Präzisionsantrieben schaffen. CGI ist auf medizinische Robotik spezialisiert und bedient verschiedene Automatisierungs Märkte. Der Abschluss des Geschäfts wird im dritten Quartal 2024 erwartet, vorbehaltlich der behördlichen Genehmigung.
Die Angebote von CGI ergänzen die Produkte Cone Drive und Spinea von Timken. Die Übernahme steht im Einklang mit Timkens Strategie der Diversifizierung und Expansion im Bereich der industriellen Bewegung. CGI, das 1967 gegründet wurde, soll 2024 voraussichtlich rund 45 Millionen US-Dollar Umsatz erzielen. Timken wird die Transaktion mit Bargeld und bestehenden Kreditfazilitäten finanzieren. Dieser Schritt festigt weiter Timkens Position als globaler Marktführer in Automatisierungs- und Robotiklösungen.
- Expansion of Timken's precision drive product portfolio
- Strengthening position in high-growth medical applications
- Expected $45 million in sales contribution from CGI in 2024
- Enhances Timken's global leadership in automation and robotic solutions
- Complements existing Cone Drive and Spinea product lines
- None.
Insights
The acquisition of CGI Inc. by Timken is a strategic move to expand its motion-control platform. With CGI's expected
Timken's 2023 sales of
This acquisition positions Timken to capitalize on the booming automation market, particularly in medical robotics. The global medical robots market is projected to grow at a CAGR of
The deal also demonstrates Timken's commitment to inorganic growth and technology expansion, following its previous acquisitions of Cone Drive and Spinea. This strategy of building a comprehensive portfolio in precision drives could lead to increased market share and potentially higher margins. Investors should view this as a positive step towards Timken's long-term growth in the industrial automation space.
The acquisition of CGI Inc. significantly enhances Timken's technological capabilities in precision drive systems. By combining CGI's expertise with Timken's existing Cone Drive harmonic and Spinea cycloidal products, the company is creating an unmatched portfolio in the precision drives market. This technological synergy could lead to innovative solutions across various automation applications.
The focus on medical robotics is particularly noteworthy, as this field requires high-precision, reliable components. Timken's expanded capabilities could position it as a key supplier in the rapidly evolving medical technology sector. Investors should consider the potential for Timken to leverage this expanded technology base for cross-sector applications, potentially opening new revenue streams in aerospace, solar and factory automation markets.
Addition will create unmatched portfolio of precision drives
"Timken has one of the broadest and most differentiated precision drive product portfolios in the global automation industry," said Christopher Coughlin, executive vice president and president of Industrial Motion. "Driven by our strength in operational excellence, growing global footprint and expanding engineering expertise, we are well positioned for growth in attractive markets such as medical, solar, factory automation, aerospace, general industrial and more.
"CGI's precision motion-control offerings closely complement our Cone Drive harmonic and Spinea cycloidal products. With an attractive product portfolio, strong presence in high-growth medical applications, state-of-the-art manufacturing and consistently strong operating margins, the CGI acquisition is a good strategic fit for Timken that will help us continue to build on our 125-year legacy of innovation."
Timken entered the precision drives space in 2018 by acquiring Cone Drive and expanded its capabilities in 2022 by adding Spinea. These acquisitions were a direct result of Timken's strategy to diversify and expand its capabilities in industrial motion. Cone Drive and Spinea solutions enable a wide range of applications and are helping to drive Timken's growth in automation, which ranked as the company's second-largest individual end-market sector in 2023. The addition of CGI will further bolster Timken's position as a global leader in automation and robotic solutions.
CGI is a family-owned business founded in 1967 with headquarters and production facilities in
Timken will fund the transaction with a combination of cash on hand and existing committed credit facilities.
About The Timken Company
The Timken Company (NYSE: TKR; www.timken.com), a global technology leader in engineered bearings and industrial motion, designs a growing portfolio of next-generation products for diverse industries. For 125 years, Timken has used its specialized expertise to innovate and create customer-centric solutions that increase reliability and efficiency. The company posted
Safe Harbor
Certain statements in this release (including statements regarding the company's forecasts, estimates, plans 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 related to expectations regarding the expected future financial performance of the newly acquired business 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 complete the acquisition due to either the failure to satisfy any condition to the closing of the transaction, including receipt of regulatory approval, or the occurrence of any event, change or other circumstance that could give rise to the termination of the purchase agreement; the inability to successfully integrate the newly acquired business into the company's operations or achieve the expected synergies associated with the acquisition; negative impacts to the newly acquired business as a result of global conflicts and hostilities; 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, 2023, 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
scott.schroeder@timken.com
Investor Relations:
Neil Frohnapple
234.262.2310
investors@timken.com
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SOURCE The Timken Company
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