EnPro Industries Acquires Veyance North American Air Spring Business, Manufacturer of Goodyear Air Springs
By Business Wire News
By Business Wire News
EnPro Industries, Inc. (NYSE: NPO), a leading manufacturer of engineered industrial products, today announced it has completed its acquisition of the Veyance North American air springs business from Continental AG. The acquisition agreement was previously announced on June 3, 2015, subject to certain regulatory approvals that have been cleared. The air springs business unit is the manufacturer of Goodyear air springs that are used in suspension systems, cabs and seats of commercial vehicles. Previously part of Veyance Technologies, Inc., which Continental AG acquired in January 2015, the business will become part of EnPro’s Stemco division. Stemco is a leader in the technology and manufacture of commercial vehicle wheel end, braking, and suspension components, as well as innovative tire and mileage solutions.
The air spring business unit manufactures Goodyear air springs products in its facility in San Luis Potosi, Mexico with a commercial organization in the U.S., Canada, and Mexico, and engineering, testing, and administrative resources in Fairlawn, OH. The addition of the air springs business unit significantly expands Stemco’s presence and scale in the commercial vehicle suspension market. The business generates approximately $100 million in revenue with a fairly even split between OEM and aftermarket sales. EnPro paid approximately $20 million for the business, which equates to approximately 4.1x EBITDA including estimated integration costs. The business brings a highly-skilled workforce of approximately 530 employees. EnPro will provide additional detail about the acquisition during its Q2 earnings call on July 31, 2015.
Commenting on the acquisition of the air spring business unit, Steve Macadam, president and chief executive officer of EnPro Industries said “We are excited about the addition of the air springs business into Stemco and want to convey a warm welcome to our new group of colleagues. This addition to Stemco’s suspension offering follows our strategic growth plan and we see a tremendous opportunity to leverage Stemco’s market-leading sales and product training model to fleet customers to grow aftermarket sales.”
About EnPro Industries
EnPro Industries, Inc. is a leader in sealing products, metal polymer and filament wound bearings, components and service for reciprocating compressors, diesel and dual-fuel engines and other engineered products for use in critical applications by industries worldwide. For more information about EnPro, visit the company’s website at http://www.enproindustries.com.
Note: The GOODYEAR trademark is used by Veyance Technologies, Inc. under license from The Goodyear Tire & Rubber Company.
EnPro Industries, Inc.
Dan Grgurich, 704-731-1527
Director, Investor Relations and