CHARLOTTE, N.C. — EnPro Industries Inc. (NYSE: NPO), a manufacturer of engineered industrial products, announced Monday it has acquired Fabrico, Inc., a privately-held company offering highly engineered products and solutions to the land-based turbine (“LBT”) industry. Fabrico will become part of EnPro’s Technetics Group, a supplier of high performance sealing and other products to the aerospace, semiconductor, power generation and oil and gas markets. The business was acquired from Fabrico Holding Company LLC, a portfolio company of Prudential Capital Partners III, L.P., in a cash transaction. Terms were not disclosed.
Fabrico, headquartered in Oxford, MA, with additional facilities in Charlton, MA, and Greenville, SC, is a supplier of mission-critical components for the combustion and hot path sections of industrial gas and steam turbines. The addition of Fabrico significantly expands Technetics Group’s presence and scale in the LBT market and positions Technetics Group to become the seal and combustion leader. The company also brings a highly-skilled workforce of approximately 165 employees.
Gilles Hudon, president of EnPro’s Technetics Group said “We are excited by the breadth of products and manufacturing capabilities that Fabrico brings to our business, and we are confident our combined capabilities will enhance our delivery of highly-engineered components and solutions to our LBT customers. We welcome the Fabrico team to EnPro and Technetics Group, and we look forward to the benefits this business combination will afford our customers and employees.”
Patrick Mullane, chief executive officer of Fabrico said, “Fabrico has a 25+ year record of providing world class products to its customers. While we have enhanced our capabilities significantly over the past five years, we realized that a larger platform would enable us to best serve, and grow with, our customers and, in so doing, provide opportunities for our employees. EnPro and Fabrico share a similar culture, and I am excited to join the EnPro team.”
Separately, EnPro announced it has completed the sale of its GRT business unit to GRT Rubber Technologies, LLC, a newly formed business funded by an investor group led by Main Street Capital Corporation. GRT, with a single manufacturing facility in Paragould, AR, manufactures and sells conveyor belts and sheet rubber for many applications across a diversified array of end markets. Main Street Capital Corporation is a principal investment company, providing long-term equity and debt capital to lower-middle and middle market companies. The business was sold in an all-cash transaction at a price of $44 million. GRT’s management team will continue to manage the business under the new ownership.
Commenting on both the acquisition of Fabrico and the divestiture of GRT, Steve Macadam, president and chief executive officer of EnPro Industries said “The acquisition of Fabrico and the sale of GRT represent a concerted effort to reallocate capital to businesses that are central to EnPro’s future growth. Fabrico’s industrial gas turbine focus is highly complementary with Technetics Group’s strategic market focus, and the acquisition provides another product adjacency move that will create new growth opportunities for Technetics Group.”
Macadam went on to say “While we will miss our colleagues at GRT, we are confident that the divestiture will provide the GRT team with a new focus and future opportunities for growth. On behalf of the entire EnPro organization, I want to express our great appreciation for the many contributions that the GRT management team and employees have made to EnPro over the last 12 years.”
EnPro Industries, Inc. is a manufacturer of sealing products, metal polymer and filament wound bearings, components and service for reciprocating compressors, diesel and dual-fuel engines and other engineered products for use in critical applications by industries worldwide. For more information about EnPro, visit the company’s website at http://www.enproindustries.com.