Regal Beloit Completes RAM Motor Purchase

Profits won't begin accruing until 2014, however.

Rich Smith
Rich Smith
Feb 9, 2013 at 1:21PM
Industrials

On Friday, electric motor and generator manufacturer Regal Beloit (NYSE:RBC) announced that it has completed its purchase of France-based Schneider Electric's RAM motor business. 

Regal says it expects to generate $20 million in 2013 revenue from its new subsidiary, which manufactures hermetic motors for use in commercial HVAC. Profits should begin arriving next year, with Regal projecting that RAM will add $0.03 worth of profit per diluted share in 2014.

Regal shares reacted positively to the news, closing up 1% Friday at $54.81.