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Concentric AB Acquires Engineered Machined Products for SEK 1,260m MSEK 1,260 (M 147)
Wednesday 27 October 2021

Sweden-based Concentric AB has agreed to acquire US-based e-pumps, electrical products and systems provider Engineered Machined Products, Inc. (EMP) for SEK 1,260m (USD 147m) on a cash and debt free basis, the company said.

The entire consideration will be paid in cash and the transaction is expected to close on 29 October 2021.

The acquisition is a transformational event as it strengthens Concentric's capabilities in electrical products including electrical fans, e-oil and e-water pumps and will increase the company's revenues by more than 50% on an annual basis.

Concentric will finance the transaction using SEK 1,072m (USD 125m) of debt, with the remainder being funded from existing cash reserves.

The debt will be made up of a new SEK 858m (USD 100m) term loan facility with the remaining SEK 214m (USD 25m) drawn down from an existing revolving credit facility.

The acquisition will help Concentric support e-pump electrification systems.
Date Published: 27/10/2021