NEW YORK – MARCH 6, 2019 – One Equity Partners (“OEP“), a leading middle market private equity firm, today announced that it has signed a definitive agreement to acquire Walterscheid Powertrain Group, (“Walterscheid” or “the Company”), a leading provider of original equipment and aftermarket parts and services for off-highway powertrain applications, from GKN Limited.
Founded in 1919 and headquartered in Lohmar, Germany, Walterscheid manufactures, distributes and services shafts, gearboxes, attachment systems, clutches and other parts for off-highway applications. The Company’s 2,100 employees also provide a wide range of services for agricultural, construction, mining, and industrial OEM and aftermarket customers in Europe, China, and North America.
OEP will partner with the management team of Walterscheid, led by CEO Wolfgang Lemser, to establish the Company as an independent business, ensure continuity for customers, suppliers and employees, and to invest in the Company’s continued growth. Walterscheid expects no changes to daily operations as a result of the transaction.
“We’re excited to partner with Wolfgang and his team on this next phase of the Company’s development. Walterscheid is known for its leading engineering technology, product quality, and customer service. We look forward to working with the Company to reinforce that reputation,” said Joseph Huffsmith, Managing Director, OEP. “Walterscheid will be well positioned to grow through further investment, and to support the increasing demand of its world-class customers in the agricultural, construction, mining and industrial industries.”
Walterscheid has nine manufacturing plants and operates 26 aftermarket service locations globally, with a network of 130 distribution partners worldwide.
“OEP has a strong track record of building market-leading industrial companies through organic and inorganic investment initiatives that drive operational performance, add product capabilities and expand geographic reach,” said Lemser. “We are pleased to be partnering with OEP as we continue to develop and grow the Company.”
The transaction is expected to close in the second quarter of 2019, pending customary closing conditions and regulatory approval.