Kohler Co. Signs Agreement to Acquire Lombardini Engine Companies From Mark IV
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KOHLER, Wis., May 9: Kohler Co.'s Global Power Group, a global leader in engines and power generator systems, has entered into an agreement to purchase Lombardini Srl from Mark IV Luxembourg S.A.R.L., a subsidiary of Mark IV Industries, Inc. The acquisition agreement is subject to relevant regulatory approval.
Kohler Co.'s acquisition of Lombardini "will provide a strong complement to our existing Engine Business by adding a complete diesel engine line to serve the needs of our commercial and consumer customers worldwide," said Dick Fotsch, Global Power Group President.
Kohler Co.'s engine division, in operation since the 1920s, manufactures air- and liquid-cooled, four-cycle gasoline engines in the 4 to 38 horsepower range. Kohler engines are supplied to equipment manufacturers worldwide in the lawn and garden, commercial and industrial, agricultural and construction markets. Kohler manufactures its engines from three North American facilities and one facility, as part of a joint venture agreement in China.
The 85-year old Lombardini Srl, headquartered in Reggio Emilia, Italy, manufactures small diesel, gas, and petrol engines for the industrial, transportation, agriculture, marine and light construction industries. Lombardini's diesel and gasoline engine line ranges from 3 to 72 horsepower.
"By being acquired by Kohler Co., Lombardini will become part of a group committed to growing the Engine Business globally," said Dr. Gianni Borghi, CEO, Lombardini Srl. "We're confident that the combined engineering expertise and worldwide market support will serve our original equipment customers and end customers very well."
The acquisition will also provide Kohler with an expanded geographical presence in the European and North African markets. "Lombardini is a strong geographic complement to our Engine Business and we're pleased to add contemporary diesel technology to our product offering," said Fotsch, adding that Lombardini's advances in cleaner, quieter diesel engines were complementary to Kohler's ongoing commitment to environmentally sound products.
The acquisition is expected to be completed in early summer 2007.
About Kohler Co.
Founded in 1873 and headquartered in Kohler, Wisconsin-USA, Kohler Co. is one of the oldest and largest privately-held companies in the United States. Kohler is a global leader in the manufacture of kitchen and bath products, engines and power generation systems, cabinetry, tile and home interiors, and international host to award-winning hospitality and world-class golf destinations.
A division of Kohler Co.'s Global Power Group, Kohler Engines is a leading manufacturer of four-cycle, gasoline engines -- ranging from 4 to 38 horsepower -- under the brand names KOHLER Courage®, Aegis®, Command PRO®, and Command®. All KOHLER engines are backed by a dealer/distributor network that is 10,000 strong worldwide (http://www.kohlerengines.com/).
About Lombardini Srl and Mark IV Industries, Inc.
Lombardini, headquartered in Reggio Emilia, Italy, manufactures small diesel and gasoline engines in 5 plants in Europe and Asia. It is represented worldwide through seven commercial subsidiaries and hosts more than 1,600 service locations. The company markets under four brands: Lombardini, Lombardini Marine, Ruggerini Diesel and Acme Motori. Lombardini was established in 1922 and acquired by Mark IV Industries, Inc. in 1999.
Mark IV Industries, Inc. is headquartered in Amherst, New York, USA and Torino, Italy (http://www.mark-iv.com/) and is a leading global diversified manufacturer of highly engineered systems and components for transportation infrastructure, vehicles and equipment. The company's systems and components are designed to promote a cleaner and safer environment and include advanced radio frequency, information display, diesel and gasoline engine, air admission and fuel and fluid handling technologies. The company has a global marketing and manufacturing footprint.
Mark IV is majority controlled by funds advised by BC Partners (http://www.bcpartners.com/), a leading pan-European private equity firm with offices in Milan, Hamburg, London, Geneva and Paris. Since the firm was founded in 1986, the funds advised by BC Partners have invested in 63 acquisitions with a total transaction volume of euro 48 billion.
Source: Kohler Co.
CONTACT: Stephanie Dlugopolski Kohler Co.,
+1-920-457-4441, ext. 70098, Stephanie.dlugopolski@kohler.com
Web site: http://www.kohlerco.com/
http://www.kohlerengines.com/
http://www.mark-iv.com/
http://www.bcpartners.com/
