Tecumseh Electrical Sold to Regal Beloit

August 13, 2007
/ Print / Reprints /
/ Text Size+

TECUMSEH, Mich. - Tecumseh Products Co. signed an agreement with Regal Beloit Corp. to sell to Regal Beloit the majority of Tecumseh’s Electrical Components business operations for $220 million in cash, subject to customary adjustments at closing. The operations to be sold, principally composed of the Residential & Commercial Motors and Asia Pacific divisions of Tecumseh’s Fasco business unit, accounted for about 70 percent of Electrical Components sales in 2006. Tecumseh will use the proceeds of the transaction to pay off the debt associated with Tecumseh’s second lien credit agreement, as well as a substantial portion of its outstanding first lien debt.

“This is another important step in our ongoing efforts to reduce the company’s debt, sharpen its strategic focus, and improve its financial performance,” said James Bonsall, Tecumseh’s president and COO. “Regal Beloit Corp., as a worldwide leader in electrical motion control products, will be well positioned to further develop and grow these businesses as part of its overall product portfolio.”

Completion of the transaction, which is subject to regulatory approval by the Federal Trade Commission and other customary closing conditions, is currently expected to occur in the third calendar quarter.

Publication Date: 08/13/2007

Did you enjoy this article? Click here to subscribe to The NEWS Magazine

You must login or register in order to post a comment.



Image Galleries

2014 ACI Home Performance Conference

The 2014 ACI National Home Performance Conference & Trade Show was held in Detroit.


NEWSMakers: Doug Dougherty

Doug Dougherty, president and CEO of the Geothermal Exchange Organization (GEO) joins the program to discuss the latest happenings with GEO, including the drive to get included in state and federal definitions of renewable energy, plus the future of geothermal.  Posted on July 25.

More Podcasts


NEWS 07-21-14 cover

2014 July 21

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe


Some in the industry are calling for the EPA to halt production of R-22 as of 2015. What do you think?
View Results Poll Archive


2014 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research


Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.


Magazine image
Register today for complete access to Get full access to the latest features, Extra Edition, and more.


facebook icontwitter iconyoutube iconLinkedIn i con