The Timken Company has reached an agreement to acquire Beka Lubrication, a leading global supplier of automatic lubrication systems, for approximately $165 million.
The company serves a diverse range of industrial sectors including wind, food and beverage, rail, on- and off-highway and other process industries. Beka sales are expected to be around $135 million for the full year 2019. The acquisition of Beka expands Timken’s global footprint in the highly attractive automatic lubrication systems market sector, increasing its geographic scale and market coverage in Europe and Asia and creating new opportunities to serve wind and other industrial end markets more fully.
Family owned and operated since its founding in 1927, Beka is headquartered in Pegnitz, Germany. The company offers automatic and central lubrication systems and employs approximately 900 people, with manufacturing, research and development based in Germany, and assembly facilities and sales offices around the world.
Timken first entered the automatic lubrication market in 2013 with the acquisition of Interlube and then significantly expanded its portfolio and global reach through the acquisition of Groeneveld in 2017. Timken is thus expecting to realize significant synergies, margin expansion and revenue growth opportunities through the combined Groeneveld-Beka business.