Twin Disc, Inc. Finalizes Deal to Acquire Katsa Oy
May 31, 2024
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Jeff Knutson, Vice President – Finance, Chief Financial Officer, Treasurer & Secretary
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Twin Disc, Inc. Finalizes Deal to Acquire Katsa Oy
MILWAUKEE – Twin Disc, Inc. (NASDAQ: TWIN), a global leader in power transmission technology for marine and land-based applications, announced today that it has completed the €21 million (approximately $23 million) acquisition of Katsa Oy, a Finland-based, designer and manufacturer of gearboxes and power transmission components for industrial and marine end-markets.
The acquisition of Katsa Oy will broaden Twin Disc’s global reach through further expansion into growing European markets, while also adding complementary products that diversify and enhance Twin Disc’s offerings in the industrial, marine and hybrid/electrification space. In addition, Katsa’s wide range of after-sales services and strong in-house capabilities for engineering, development, manufacturing and heat treatment will strengthen Twin Disc’s global sales and service network.
For the fiscal year ended September 30, 2023, Katsa delivered approximately €33 million of revenue. The acquisition is expected to be accretive to Twin Disc’s U.S. GAAP earnings within twenty-four months.
“We are excited to welcome Katsa to the Twin Disc family of brands,” stated John H. Batten, President and CEO of Twin Disc. “Acquiring a well-established company with longstanding relationships with many of Europe’s leading OEMs with a good reputation for its products and production capabilities will be a boon to our industrial and marine product lines. This acquisition will also provide growth opportunities in electric & hybrid applications and create significant value for our shareholders.”
Tomi Koskinen, CEO of Katsa Oy stated, “We are excited to be a part of Twin Disc. Twin Disc and Katsa share a common culture based on a commitment to supplying high-quality components through world-class engineering and manufacturing capabilities. These synergies position our products for long-term success.”
About Twin Disc, Inc.
Twin Disc, Inc. designs, manufactures and sells marine and heavy-duty, off-highway power transmission equipment. Products offered include marine transmissions, azimuth drives, surface drives, propellers, and boat management systems, as well as power-shift transmissions, hydraulic torque converters, power take-offs, industrial clutches, and control systems. The Company sells its products to customers primarily in the pleasure craft, commercial and military marine markets, as well as in the energy and natural resources, government, and industrial markets. The Company’s worldwide sales to both domestic and foreign customers are transacted through a direct sales force and a distributor network. For more information, please visit www.twindisc.com.
About Katsa Oy
Katsa designs and manufactures gearboxes and power transmission components which are tailored to meet the customer’s demands. For end users, Katsa provides modelling, modernization, gearbox repair and maintenance services as well as spare parts. For more information, please visit www.katsa.fi/en/.
Forward-Looking Statements
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