London, England — Feb. 21, 2002 — Invensys plc, an international automation and controls firm, is selling its Brook Crompton and Rexnord businesses, as well as several of its bearing operations in North America, as part of a major restructuring program. The Industrial Components and Systems division is being divested completely. All operations in Canada are expected continue under the new ownership, company insiders told mro-esource.com.
The Industrial Components and Systems division of Invensys includes Rexnord, Flow Control, Fasco Motors, Sensor Systems, Drive Systems, BAE Automated Systems, Energy Storage and CompAir.
Invensys has already arranged the sale of its Integral Horsepower Motor (IHP) division of Brook Crompton to Lindeteves-Jacoberg of Singapore for 17 million. Brook Crompton manufactures low-voltage AC and DC electric motors with a power range up to 750 kW. Its motors are used in many applications including extraction fans, cranes, elevators and ski lifts.
“Brook Crompton has been for sale and reporting through our Disposal Group since March 2001,” said Rick Haythornthwaite, CEO of Invensys. “This transaction substantially completes the disposal of the Brook Crompton Group.”
“After a rigorous examination of our businesses and opportunities, we now have a clear understanding of today’s smarter customers, tougher competitors and the risks and rewards before us,” Haythornthwaite commented.
“We were determined to challenge and fundamentally change our existing shape. What we have carved out is a more compact Group capable of both rapid rebound and sustainable long-term growth. This route delivers a substantial premium on value creation over all other options we examined.”
Haythornthwaite became the CEO of Invensys on Oct. 1, 2001.
Rexnord, headquartered in Milwaukee, Wisc., is a group of businesses which manufacture power transmission and conveying components. Rexnord has five bearing operations: Link-Belt, MB Bearings, Rex, Filament Bearing, and W.M. Berg.
Link-Belt Bearing Division, headquartered in Indianapolis, Ind., manufactures a wide range of automotive and industrial bearings, inserts and mounted units. The company has a second manufacturing location in Clinton, Tenn., which produces cylindrical roller bearings.
Link-Belt is best known for its industrial bearing inserts and mounted units, including pillow blocks, flange units, plummer blocks and all-stainless units. Link-Belt offers not only ball bearings and cylindrical roller bearings, but also sleeve bearings in babbitt, bronze and cast iron.
Rex Bearings, located in Downers Grove, Ill., manufactures industrial mounted roller bearings, pillow blocks, flange blocks and take-up units which allow for a wide degree of shaft misalignment within the bearing itself. Rexnord’s Filament Bearing Operation manufactures Duralon plain inserts of Teflon and carbon fibre.
MB Bearings, located in Valparaiso, Ind., also is affected. Acquired by Rexnord in 1998, MB manufactures standard and custom precision mounted bearings and inserts, pillow blocks, flange units, take-up units, flange brackets and hanger units.
W.M. Berg, Inc. located in Rockaway, N.Y., specializes in manufacturing and distributing miniature precision mechanical components. The Berg miniature bearing line includes ball, roller, needle, non-metallic, sintered, spherical, thrust and oilless.
The changes will leave Invensys with two major divisions.
The Production Management division will comprise Foxboro, Wonderware, Triconex, APV, Eurotherm and Baan, businesses that provide production technologies and services to the sectors of oil, gas and chemicals; power generation; food, beverage and personal healthcare; and discrete and hybrid manufacturing.
The Energy Management division will combine Energy Solutions, Metering Systems, Appliance and Climate Controls and Power Systems and will address markets connected with power and energy infrastructure; and with buildings for industrial, commercial and residential usage.
By Bill Roebuck, Editor