HydraForce Has Agreed to Be Sold to Bosch Rexroth

Landmark transaction highlighting Lincoln’s global reach and robust hydraulics expertise

CHICAGO--(BUSINESS WIRE)--HydraForce is a leading designer and manufacturer of compact hydraulic valves and solutions. The company’s deep product portfolio encompasses highly engineered cartridge valves, custom manifolds and electro-hydraulic controls. HydraForce has created thousands of custom control solutions for a variety of off-highway industries, including farming, construction, marine, material handling, mining and forestry.

HydraForce is globally recognized as an industry pioneer within the hydraulic fluid power industry and has rapidly grown since its founding in 1985. HydraForce employs around 2,100 associates, mainly at its six production locations across the United States, Brazil, United Kingdom and China. For more information on HydraForce, please visit www.hydraforce.com.

Lincoln International is pleased to announce that Bosch Rexroth has entered into a definitive agreement to acquire HydraForce, Inc., based in Lincolnshire, Illinois. HydraForce’s extensive portfolio of products perfectly complements the existing product portfolio of Bosch Rexroth’s compact hydraulic business unit. Within Bosch Rexroth, the business unit designs, manufactures and markets compact hydraulic components for applications such as earth moving, cranes, aerial platforms, agricultural machinery and industrial applications at its four locations in China, the United States, Germany and Italy.

In addition to the complementary product portfolios, the regional sales structures of HydraForce and Bosch Rexroth also complement each other: Bosch Rexroth focuses on Europe, while HydraForce maintains a broad footprint in North America. The combined activities will create a well-balanced entity in the two regions and will support further activities in the South American and Asia Pacific markets. Further, the addition of HydraForce will significantly improve Bosch Rexroth's global market access through indirect sales channels (e.g., distributors and systems integrators) which aligns with the long-term strategic target of Bosch Rexroth.

Bobby Reifman, Managing Director in Lincoln's Industrial Group, commented, “Motion control businesses continue to be in high demand among the private equity community and global strategic acquirers as the importance of serving global original equipment manufacturing customers locally continues to accelerate.”

As one of the world’s leading suppliers of drive and control technologies, Bosch Rexroth ensures efficient, powerful and safe movement in machines and systems of any size. The company bundles global application experience in the market segments of mobile applications, machinery applications and engineering and factory automation. With its intelligent components, customized system solutions and services, Bosch Rexroth is creating the necessary environment for fully connected applications. Bosch Rexroth offers its customers hydraulics, electric drive and control technology, gear technology and linear motion and assembly technology, including software and interfaces to the Internet of Things. With locations in over 80 countries and more than 31,000 associates, the company generated sales revenue of around €6.2 billion in 2021.

The Bosch Group is a leading global supplier of technology and services. It employs roughly 402,600 associates worldwide (as of December 31, 2021). The company generated sales of €78.7 billion in 2021. Its operations are divided into four business sectors: mobility solutions, energy and building technology, industrial technology and consumer goods.

“Lincoln’s process execution was thoughtful and completely centered around what was best for us and for our employees. Lincoln’s deep hydraulics expertise and understanding of the global fluid power landscape were critical to reaching this tremendous milestone,” said Mike Terzich, President and Chief Executive Officer of HydraForce.

About Lincoln International

We are trusted investment banking advisors to business owners and senior executives of leading private equity firms and their portfolio companies and to public and privately held companies around the world. Our services include mergers and acquisitions advisory, private funds and capital markets advisory, and valuations and fairness opinions. As one tightly integrated team of more than 800 professionals in more than 20 offices in 15 countries, we offer an unobstructed perspective on the global private capital markets, backed by superb execution and a deep commitment to client success. With extensive industry knowledge and relationships, timely market intelligence and strategic insights, we forge deep, productive client relationships that endure for decades. Connect with us to learn more at www.lincolninternational.com.