Twin Disc Expands Portfolio with $16.5 Million Acquisition of Kobelt
Deal News | Feb 18, 2025 | Globenewswire
Twin Disc, Inc., a leading entity in power transmission technologies for both marine and land applications, has completed its acquisition of Kobelt Manufacturing Co. Ltd., a Canadian firm specializing in control systems for industrial and marine sectors, for $16.5 million. This acquisition is expected to diversify Twin Disc's portfolio and seamlessly integrate Kobelt’s established presence and expertise in 60 countries. With $14 million in revenue reported from Kobelt for 2024, the acquisition is also anticipated to immediately contribute to Twin Disc's earnings based on U.S. GAAP standards. The integration promises to enhance quality control and international reach, supported by Kobelt's distinctive services in after-sales and in-house production capabilities. Statements from the executives highlight the strategic alignment of both companies in enhancing value for the combined customer base.
Sectors
- Marine and Industrial Engineering
- Power Transmission
Geography
- United States – Twin Disc is based in Milwaukee, USA, and is expanding its operations through this international acquisition.
- Canada – Kobelt is a Canadian company, and the acquisition represents cross-border business growth between the US and Canada.
- Global – Both companies have a global reach, with operations and customer bases spanning multiple countries.
Industry
- Marine and Industrial Engineering – The article focuses on Twin Disc and Kobelt, companies specializing in marine and industrial control systems, highlighting an acquisition in this sector.
- Power Transmission – Both Twin Disc and Kobelt are involved in power transmission technology for marine and land-based applications, making this industry relevant.
Financials
- $16.5 million – The cost of Twin Disc's acquisition of Kobelt Manufacturing.
- $14 million – Kobelt's revenue for the year ending December 31, 2024.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Twin Disc, Inc. | Acquirer | Company | A global leader in power transmission technology, serving various markets including marine, government, and industrial sectors. |
| Kobelt Manufacturing Co. Ltd. | Target Company | Company | A Canadian company specializing in brake, control, and steering systems for industrial and marine markets. |
| John H. Batten | President and CEO | Person | CEO of Twin Disc, involved in the acquisition announcement and strategic alignment. |
| Dave Bockhold | CEO | Person | CEO of Kobelt, overseeing the transition and integration with Twin Disc. |