(Manufacturing.net) — Elmira, N.Y.-based Hardinge Inc. has announced that it will acquire Forkardt from Illinois Tool Works in a $34 million transaction of cash and debt that is expected to be completed today. Hardinge officials say Forkardt’s brands include leading providers of high-precision, specialty and customized workholding devices for machine tools.
Forkardt was found in Germany in 1923 before being acquired in 2004 by ITW Workholding. The company is currently headquartered in Traverse City, Mich., although it maintains operations in France, Germany and Switzerland. Current brands include Forkardt, NA Woodsworth, Buck Chuck, Sheffler Collet and Logansport Cylinder. In 2012, the company’s revenue was $47 million. As part of the acquisition deal, the group general manager of Forkardt, William Speanik, will be appointed as a vice president of the new Forkardt operations.
In a statement, Richard L. Simons, Chairman, President and Chief Executive Officer of Hardinge, said: “Our acquisition of Forkardt will strengthen and expand our leadership position in specialty workholding solutions around the world. Our strategy is to diversify our product offerings in workholding, accessories and spare parts as a means of reducing the impact of the highly cyclical nature of machine tool sales. These products tend to be more stable despite economic cycles and typically also have higher margins. Historically, accessories and repair parts have averaged around 22 percent to 25 percent of our total revenue. On a pro-forma basis, we expect this product line to represent more than 30 percent of our business.”
Forkardt’s design, manufacturing sales and distribution will continue to operate separate from Hardinge’s machine tool manufacturing operations and sales. The company reinforced its belief that separate and independent operations will help both operations keep focus on their own customers.
Learn more about Hardinge at www.hardinge.com.