Altra Industrial Motion Corp (AIMC)

[Enterprising Investor]

Altra Industrial Motion Corp. Completes Combination with Fortive’s Automation & Specialty Platform (10/01/18)

Creates a Premier Industrial Company

BRAINTREE, Mass., Oct. 01, 2018 (GLOBE NEWSWIRE) -- Altra Industrial Motion Corp. ("Altra") (NASDAQ:AIMC), a global manufacturer and marketer of electromechanical power transmission and motion control products, today announced the completion of Altra's combination with four operating companies from Fortive's Automation & Specialty platform ("Fortive A&S"), including market leading brands Kollmorgen, Thomson, Portescap and Jacobs Vehicle Systems.

The transaction was valued at approximately $2.9 billion, based on Fortive receiving $1.4 billion of cash proceeds and debt instruments and Fortive stockholders receiving 35 million newly issued shares of Altra common stock. On an LTM basis for the period ending June 30, 2018, the pro forma combined company had revenues of $1.9 billion.
With the combination complete, Altra is positioned to drive growth and value creation through its industry-leading positions in the precision motion control market, a stronger position at the higher end of the technology spectrum, increased exposure to higher growth, higher margin end-markets and an enhanced financial profile.

"We are pleased to complete this combination and move forward as a premier industrial company with leading positions across key markets," said Carl Christenson, Chairman and Chief Executive Officer of Altra. "In addition to our foundational power transmission businesses, we can now provide our customers with a broader suite of products and solutions, including sophisticated precision motors, drives and controls; engineered linear motion systems; miniature motors; and a leading portfolio of braking technologies. We are excited about the opportunities we see to drive innovation and deliver enhanced value for stockholders and customers alike. On behalf of everyone at Altra, we welcome Fortive A&S' talented team, and look forward to our future and what we can achieve together."

The combined company will remain headquartered in Braintree, Massachusetts and will continue to be led by Altra's current Chairman and CEO, Carl Christenson.

Advisors

Goldman Sachs & Co. LLC served as financial advisor to Altra and Cravath, Swaine & Moore LLP served as legal counsel to Altra.

About Altra

Altra Industrial Motion Corp. is a premier industrial manufacturer of highly engineered power transmission, motion control and engine braking systems and components. Altra's portfolio consists of 27 well-respected brands including Bauer Gear Motor, Boston Gear, Jacobs Vehicle Systems, Kollmorgen, Portescap, Stromag, Svendborg Brakes, TB Wood's, Thomson and Warner Electric. Headquartered in Braintree, Massachusetts, Altra has approximately 9,300 employees and over 50 production facilities in 16 countries around the world.

https://www.nasdaq.com/press-release/altra-industrial-motion-corp-completes-combination-with-fortives-automation--specialty-platform-20181001-01000