STOCKHOLM, Sept 5 Sweden's SKF, the
world's biggest bearings maker, said on Thursday it had agreed
to buy U.S.-based Kaydon Corporation in an all-cash deal
valued at about $1.25 billion.
SKF said in a statement that the deal, which included $95
million of net debt, would be paid with cash on hand and boost
the group's earnings in the first year after the transaction.
The offer of $35.5 per Kaydon share represented a 22 percent
premium on the closing price on Wednesday and had been
unanimously recommended by the company's shareholders, SKF said.
Kaydon is diversified industrial manufacturer with 2,100
employees which had sales of $475 million last year and an
adjusted operating profit margin of around 16 percent, SKF said.