Twin Disc to acquire gearbox supplier

Twin Disc Inc. has completed the €21 million (approximately $23 million) acquisition of Katsa Oy, a Finland-based designer and manufacturer of gearboxes and power transmission components for industrial and marine end-markets.

The company said the acquisition of Katsa Oy is expected to broaden its global reach through further expansion into growing European markets, while adding complementary products that enhance its offerings in the industrial, marine and hybrid/electrification space.

Katsa has more than 40 years of experience with gearboxes and gear components. (Photo: Twin Disc)

“We are excited to welcome Katsa to the Twin Disc family of brands,” said John H. Batten, President and CEO of Twin Disc based in Milwaukee, Wis. “Acquiring a well-established company with longstanding relationships with many of Europe’s leading OEMs with a good reputation for its products and production capabilities will be a boon to our industrial and marine product lines. This acquisition will also provide growth opportunities in electric and hybrid applications and create significant value for our shareholders.”

In addition, Katsa’s wide range of after-sales services and strong in-house capabilities for engineering, development, manufacturing and heat treatment are expected to strengthen Twin Disc’s global sales and service network.

For the fiscal year ended Sept. 30, 2023, Katsa delivered approximately €33 million of revenue. The acquisition is expected to be accretive to Twin Disc’s U.S. GAAP earnings within 24 months.

“We are excited to be a part of Twin Disc,” said Tomi Koskinen, CEO of Katsa Oy. “Twin Disc and Katsa share a common culture based on a commitment to supplying high-quality components through world-class engineering and manufacturing capabilities. These synergies position our products for long-term success.”