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Merger Announced Feb 2021

Regal Beloit Corp. merger

Parties

Target
Regal Beloit Corp.
Platform

Market signals

Summary

Rexnord spins off its Process & Motion Control segment and immediately combines it with Regal Beloit in a Reverse Morris Trust transaction. Regal shareholders will own 61.4% and Rexnord shareholders 38.6% of the combined entity, with an expected dividend to Regal shareholders of $100–$500 million. The transaction values PMC at $3.69 billion (14.2x 2020 Adjusted EBITDA).