Kaydon Corporation (NYSE: KDN) today announced that it has entered into a definitive agreement to purchase all of the outstanding shares of Stoughton, Massachusetts-based Fabreeka Group Holdings, Inc. (“Fabreeka”). The $54 million acquisition will be financed with availability under Kaydon’s existing $250 million credit facility. The acquisition is subject to customary conditions to closing and is expected to close in the second quarter of 2012.
Fabreeka is a leading provider of engineered vibration-isolation and shock-control products, including isolation pads, isolation mounts and highly engineered vibration solutions. Fabreeka’s products control unwanted shock vibration to help reduce wear, maintenance costs and down time for its customers, serving a diverse customer base across numerous end-markets, such as test and measurement, industrial machinery, manufacturing, precision equipment and aerospace and defense. Fabreeka had sales of approximately $27 million in 2011 and will join Kaydon’s Velocity Control Products segment. Kaydon expects the transaction to be accretive within the first twelve months of ownership.
Kaydon Chairman and Chief Executive Officer James O’Leary stated, “We are excited to expand our Velocity Control Products segment with the acquisition of Fabreeka, a recognized leader in the field of shock and vibration control since 1936. Fabreeka will benefit greatly from the expanded reach and resources Kaydon will provide. The acquisition continues our strategy of growing our portfolio of highly engineered businesses with complementary high margin, high value-added industry leaders.”
Kaydon Corporation is a leading designer and manufacturer of custom engineered, performance-critical products, supplying a broad and diverse group of alternative-energy, military, industrial, aerospace, medical and electronic equipment, and aftermarket customers.
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