Generator powerhouse Generac Holdings Inc., Waukesha, Wis., said it signed a purchase agreement with Baldor Electric Co., a wholly-owned subsidiary of ABB Group, to acquire substantially all of the assets of Baldor’s generator products division. Located in Oshkosh, Wis. . The acquisition is expected to close in the fourth quarter of 2013, pending standard closing conditions. Terms were not announced.
Baldor Generators has a complete lineup of portable, mobile, standby and prime power generators ranging from 3kW to 2.5MW that are marketed throughout North America. Following the close of the transaction, the employees of Baldor Generators will become employees of Generac and the Oshkosh facility will become part of Generac’s manufacturing footprint. Although the Baldor brand name is not included past a transitionary period, Generac will continue to support Baldor Generator’s existing customers and distribution network.
“Acquiring Baldor Generators is a great strategic fit for Generac’s business, providing us immediate access to a larger industrial product line to better support the North American and global power generation markets,” said Aaron Jagdfeld, president and CEO of Generac, in a release. “By offering additional power solutions up to 2.5MW, this acquisition improves our competitive position in the marketplace by increasing the addressable market that our distribution partners can serve.”