The transaction, which is expected to close in the first quarter of 2011 and will be completed for cash, is subject to customary closing conditions. The parties have received anti-trust clearances required for closing.
PSI primarily serves the global oil and gas industry and water and wastewater infrastructure markets. The business manufactures flange sealing and flange isolation products; pipeline casing spacers/isolators; casing end seals; the original Link-Seal(R) modular sealing system for sealing pipeline penetrations into walls, floors, ceilings and bulkheads; hole forming products; manhole infiltration sealing systems; and safety-related signage for pipelines. It operates facilities in the United States, Germany and the United Kingdom, and will be included in EnPro's Garlock family of companies. The transaction is being consummated by a number of domestic and international EnPro subsidiaries not involved in Garlock Sealing Technologies, LLC's asbestos claims resolution process.
"PSI will be a significant addition to the Garlock family of companies and to their expertise in industrial sealing," said Steve Macadam, president and chief executive officer of EnPro. "The acquisition will expand these companies' manufacturing capability, increase their participation in global oil and gas markets and provide them with a larger and well-established presence in water and wastewater markets, where substantial demand is likely to be created by infrastructure improvements in coming years. At the same time, the acquisition will provide PSI with access to many new markets and improved opportunities for growth.
"PSI comes to us with a record of consistent organic growth and an established aftermarket presence," Macadam continued. "We look forward to the benefits the acquisition will bring to our customers and shareholders."
"Joining the EnPro family is a win for PSI," said David Nordeen, president of PSI. "Access to the engineering, product development and experience in industrial sealing markets available through EnPro will significantly enhance PSI's global capabilities."
Source: EnPro Industries