Gabriel India Engine Bearing Spinoff Set
Gabriel India Ltd.has finally set June 1, 2007 as the firm date it will divest its Engine Bearings Division.
In the most recent regulatory filings, however, the formerly named post-spinoff acquisition partner, Federal-Mogul Corp. (USA; operating under Chapter 11 bankruptcy protection since October 2001), has disappeared from mention. No explanation has been given for the missing Federal-Mogul mention. Federal-Mogul owns 5.15%, of 3.7 million shares, of Gabriel India Ltd.
The most recent filings now say the Engine Bearings Division will be divested to a newly-formed entity, Anand Engine Components, another division of parent Anand Automotive Systems.
Details of the spinoff indicate Gabriel India shareholders will receive 1 share of Anand Engine Components for every 50 Gabriel India shares held.
Although not listed in the regulatory filings, several involved told eBearing they believe Federal-Mogul's option for a preferential buy-in after the spinoff is still in effect. In addition to engine bearings, Gabriel India manufactures ride control products and automotive components, such as shock absorbers, struts, and 2-wheeler front forks.
Gabriel is a leading engine bearing supplier to India's OEM automotive and replacement markets, as well as to heavywall applications such as rail, marine and power generation equipment. Bearings are also exported to North America, Europe, Singapore and the United Kingdom.
By name, Engine Bearings division is half of Gabriel India, whose only other division is Ride Control. However, Engine Bearings contributes less than 7% of sales.
Engine bearings are manufactured in two vertically-integrated plants -- Parwanoo (Himachal Pradesh) and Khandsa (Gurgaon) -- with a combined capacity of 23 million pieces per year.
Both plants are equipped with their own effluent strip plating lines, induction heat treating furnaces, sinter lines, automatic presses, and high speed boring and broaching machines.
After the divestiture, Gabriel remains India's largest manufacturer of shock absorbers and McPherson struts assemblies. It started in 1961 as a joint venture with Gabriel Products Company (USA).
Other News:
Gabriel India Engine Bearing Spinoff Set
Amatsuji Doubling Ceramic Ball Output
EBC Acquired 23.8% in Saratovsky Bearing Plant
RBC Bearings to Webcast Fourth Quarter and Fiscal Year 2007 Results
SKF Canada to Celebrate 90th Anniversary in July
Low-cost Cages For High-spec Bearings
JW Winco Offers Linear Actuators With Left and Right Hand Thread
U.S. Delays WTO Investigation into Fees on European Ball Bearings
