GKN is buying Rockford Power Train. The company is located in London. Both companies are similar, making drive shafts for off-highway vehicles and aircraft.
Rockford Power Train employs 185 people and has outsourced an increasing proportion of its manufacturing to low labor cost countries while retaining a strong U.S. engineering and technical presence.
GKN is acquiring the business for about $50 million which is being met from existing resources. Rockford has current annual revenues of $60 million.
Rockford's drive shafts, which connect the engine and drive axles to a vehicle's transmission operate at up to 6,000 rpm and can handle power outputs from 150 to 2500 horsepower.
This is considered good news for power train. It's been up for sale for about 20 years, so the company is glad to have finally found a buyer.