# Regal Beloit to combine with Rexnord's PMC segment in Reverse Morris Trust deal

Regal Beloit and Rexnord agreed to combine Rexnord's Process & Motion Control segment with Regal through a tax-free spin-off and Reverse Morris Trust transaction, creating a power transmission provider with about $4.1 billion pro forma 2020 revenue and $120 million targeted annual cost synergies.

- Type: Acquisition
- Announced: 2021-02-16
- Where: Wisconsin, United States
- Value: $3.70B
- Status: announced
- Products: power transmission components, industrial motion control solutions
- Sectors: [Industrial Machinery](https://endata.com/sectors/industrial-machinery.md)

## Companies

- [Regal Beloit](https://endata.com/companies/2895.md) (acquirer)
- [Rexnord](https://endata.com/companies/4012.md) (target)

## Sources

- [investors.regalrexnord.com](https://investors.regalrexnord.com/investors/ir-news/press-release-details/2021/Regal-To-Combine-With-Rexnords-PMC-Segment-Creating-World-Class-Power-Transmission-Provider/default.aspx), 2021-02-16: "Rexnord will separate its Process & Motion Control ("PMC") segment by way of a tax-free spin-off to Rexnord shareholders and then immediately combine it with Regal"
- [acuity.co.uk](https://www.acuity.co.uk/insights/insight-bite-regal-and-rexnord-combine-to-create-power-transmission-giant/), 2021-03-03: "The transaction values Rexnord's process & motion control business at $3.7bn or 14.2x adjusted EBITDA."

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Data from Endata (https://endata.com/). Announcements are summarized from public sources and may be incomplete; check the linked originals.