SKF agrees to purchase PEER Bearing Company

SKF has signed an agreement with the owners of PEER Bearing Company to acquire PEER and its manufacturing operations in China and Thailand. The company manufactures mainly deep groove ball bearings and tapered roller bearings.

PEER is a U.S.-based bearing company selling primarily to North American customers. In 2007, sales were almost US$100 million and the number of employees was approximately 1,400.

SKF is acquiring PEER to strengthen its presence in the North American market in certain segments not currently served by SKF, such as Lawn & Garden and Mechanical Power Transmission. PEER will continue to operate as a stand-alone business, acting independently on the market under its existing brand PEER.

The acquired manufacturing plants are located in Xinchang and Changshan, China, and Rayong, Thailand.

The acquisition is subject to certain conditions to closing and requires approvals by relevant authorities.