News / NN, Inc. Acquires Tapered Roller Bearing Company
NN, Inc. Acquires Tapered Roller Bearing Company
JOHNSON CITY, Tenn., June 25, 2014 /PRNewswire/ — NN, Inc. (Nasdaq: NNBR) today announced that it has acquired 79.2% of the outstanding shares of RFK Valjcici Konjic. RFK is a manufacturer of tapered roller bearings with operations in Konjic, Bosnia & Herzegovina. Its products, while complementary to NN’s existing roller bearing products, will broaden the Company’s product offering and allow penetration into adjacent markets. NN expects to acquire the remaining shares of RFK in the near future. Financial terms of the deal were not disclosed.
RFK, a listed company on the Sarajevo Stock Exchange was founded in 1984 and is expected to have sales of approximately $12.0 million in 2014. RFK currently exports all of its products, predominately to customers serving the European truck, industrial vehicle and railway markets. NN will continue operations at the existing facilities in Bosnia and will roll up the operations under its NN Metal Bearing Components Group.
Richard Holder, President and Chief Executive Officer of NN, Inc. commented, “We are pleased with the addition of RFK to the NN family. This acquisition along with the announced acquisition of V-S Industries in February of this year, are key first steps in the execution of our strategic growth plan. The acquisition of RFK increases our global manufacturing footprint in Eastern Europe and will strengthen our current product offering to our existing customer base while allowing us to further penetrate the truck, industrial vehicle and railway markets. We remain actively engaged in discussions with other acquisition targets and expect to announce additional transactions in the near future.”
Mr. Nermin Niksic, Prime Minister of the Federation of Bosnia and Herzegovina stated, “I am strongly convinced that this acquisition would ensure a safe future for the employees and launch positive signals attracting further investments into Bosnia and Herzegovina.”
NN, Inc. manufacturers and supplies high precision metal bearing components, industrial plastic and rubber products and precision metal components to a variety of markets on a global basis. Headquartered in Johnson City, Tennessee, NN has 12 manufacturing plants in the United States, Western Europe, Eastern Europe and China. NN, Inc. had sales of US $373 million in 2013.
Except for specific historical information, many of the matters discussed in this press release may express or imply projections of revenues or expenditures, statements of plans and objectives or future operations or statements of future economic performance. These, and similar statements, are forward-looking statements concerning matters that involve risks, uncertainties and other factors which may cause the actual performance of NN, Inc. and its subsidiaries to differ materially from those expressed or implied by this discussion. All forward-looking information is provided by the Company pursuant to the safe harbor established under the Private Securities Litigation Reform Act of 1995 and should be evaluated in the context of these factors. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “assumptions”, “target”, “guidance”, “outlook”, “plans”, “projection”, “may”, “will”, “would”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “potential” or “continue” (or the negative or other derivatives of each of these terms) or similar terminology. Factors which could materially affect actual results include, but are not limited to: general economic conditions and economic conditions in the industrial sector, inventory levels, regulatory compliance costs and the Company’s ability to manage these costs, start-up costs for new operations, debt reduction, competitive influences, risks that current customers will commence or increase captive production, risks of capacity underutilization, quality issues, availability and price of raw materials, currency and other risks associated with international trade, the Company’s dependence on certain major customers, the successful implementation of the global growth plan including development of new products and consummation of potential acquisitions and other risk factors and cautionary statements listed from time to time in the Company’s periodic reports filed with the Securities and Exchange Commission, including, but not limited to, the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2013.
SOURCE NN, Inc.
AT THE COMPANY: Will Kelly, Vice President and Chief Administrative Officer, (423) 743-9151; AT FINANCIAL RELATIONS BOARD: Marilynn Meek, (General info), 212-827-3773