Rehlko's Strategic Transition: Selling Curtis Instruments
Transaction supports long-term growth for both organizations
MILWAUKEE, Wis. — Rehlko, recognized as a leader in energy resilience, has announced a pivotal agreement to transfer the ownership of its Curtis Instruments business to Parker Hannifin Corporation, a prominent figure in motion and control technologies, for approximately $1 billion in cash. This strategic move is expected to finalize by the end of the upcoming calendar year, marking a significant step for both companies towards achieving their long-term ambitions.
Brian Melka, President and Chief Executive Officer of Rehlko, expressed pride in the legacy and performance of Curtis as a business renowned for its innovation and excellence. He conveyed confidence in Parker’s ability to nurture Curtis, benefitting from their enhanced scale and focus.
The decision to transition Curtis is not arbitrary; it reflects Rehlko's disciplined approach to portfolio management. By executing this transaction, both Rehlko and Curtis are set to embark on independent growth paths aimed at accelerating innovation while enhancing customer engagement. Following Rehlko’s acquisition by Platinum Equity in recent years, the focus has been clear.
Jenny Parmentier, Chairman and Chief Executive Officer of Parker, shared insights on the broader implications of this transaction, aligning it with the overarching trend toward electrification and innovation within the industrial sector. She emphasized that Curtis complements Parker's existing electrification portfolio, positioning them to better support customers embracing electric and hybrid solutions. Following the collaboration with Rehlko and Platinum Equity, a seamless transition is anticipated.
Platinum Equity has lauded this decision, framing it as part of an ongoing strategy to enhance Rehlko's competitive stance. Jacob Kotzubei and Matthew Louie, Co-Presidents, articulated their respect for Curtis and their assurance that Parker is well-equipped to nurture the business going forward. This divestiture enables Rehlko to sharpen its focus on delivering cutting-edge energy resilience solutions to its clients.
Notably, Curtis will remain under Rehlko’s umbrella until the transaction completes, ensuring continuity in high-quality service and product delivery, an essential aspect of its long-standing market leadership.
Financial advisory roles have been facilitated by BofA Securities, Inc. and Goldman Sachs & Co. LLC for Rehlko, while Parker's advisory needs are being addressed by Guggenheim Securities, LLC, alongside principal deal counsel Jones Day and European legal counsel Eversheds Sutherland.
About Rehlko
A global leader in energy resilience, Rehlko is at the forefront of delivering innovative energy solutions crucial for sustaining and improving life. With an extensive portfolio comprising Power Systems, Home Energy, and more, Rehlko's mission is to foster resilience when conventional grids cannot, enhancing lives, communities, and building a more reliable energy future.
About Parker Hannifin
Parker Hannifin stands as a recognized Fortune 250 leader in the motion and control technology sector. For over a century, the company has played a crucial role in engineering advancements shaping a better tomorrow. Moreover, Parker has maintained an impressive record of increasing its annual dividends paid to shareholders, reflecting its stability and commitment to growth.
Contact: Suzanne Cutway
Communications Director, Rehlko
(586) 216-3896
Frequently Asked Questions
What prompted Rehlko to sell Curtis Instruments?
Rehlko aims to focus on strengthening its core competencies and delivering innovative energy resilience solutions, making the transition strategic for long-term growth.
How much is the transaction worth?
The sale of Curtis Instruments to Parker Hannifin is valued at approximately $1 billion in cash.
When is the sale expected to be completed?
The transaction is anticipated to close by the end of the calendar year 2025.
What value does Curtis Instruments bring to Parker Hannifin?
Curtis Instruments provides complementary technologies that enhance Parker's existing industrial electrification platform, facilitating better service for customers adopting electric and hybrid solutions.
What will happen to Curtis Instruments until the sale finalizes?
Curtis Instruments will continue operating as part of Rehlko, maintaining its high-quality product and service delivery throughout the transition period.
