Lubrication systems giant Graco Inc. has purchased Lubriquip Inc. from IDEX Corp., the companies announced yesterday. Terms of the sale were not disclosed, but IDEX said it expects to report after-tax gain on the sale of about $16 to $17 million.
Lubriquip, based in Warrensville Heights, Ohio, will become part of Gracos Lubrication Equipment Division.
Lubriquip, whose 2005 revenues were approximately $30 million, manufactures and markets centralized and automated oil and grease lubrication systems, force-feed lubricators, metering devices, and related electronic controls and accessories. It has about 130 employees with facilities in Ohio and Madison, Wis.
In announcing the sale of its lubricant dispensing business, IDEX, headquartered in Northbrook, Ill., said it is aligning its dispensing segment to focus on core strengths.
David Roberts, chairman, president and CEO of Graco, said, The acquisition of Lubriquip establishes a strong presence for Graco in industrial lubrication end markets. Both Graco and Lubriquip have long histories of designing, manufacturing, marketing and selling lubrication equipment, and we will leverage the combined skills of both companies to benefit our customers, channel partners and shareholders.
Graco, based in Minneapolis, reported sales of $732 million last year. In January 2005 Graco acquired Liquid Control Corp. and several of its affiliates, including Profill Corp. and Decker Industries. In February 2005, Graco bought dispenser equipment manufacturers Gusmer Corp. and Gusmer Europe S.L. And last October, Graco announced its agreement to buy PBL Industries, a manufacturer and marketer of fuel and oil transfer pumps.