RBC Bearings to acquire VACCO Industries for $310 million

OXFORD, Conn. - RBC Bearings Incorporated (NYSE: RBC), a leading manufacturer of precision bearings and components for aerospace, defense, and industrial sectors, with a market capitalization of $4.68 billion, has announced a definitive agreement to purchase VACCO Industries for $310 million in cash. According to InvestingPro data, the company maintains a strong financial health score of "GREAT," positioning it well for strategic acquisitions. The acquisition is set to expand RBC’s product range and capabilities in the space and naval defense sectors.

VACCO, based in South El Monte, California, specializes in the production of highly engineered valves, manifolds, regulators, filters, and other components critical to space and naval defense applications. In the 12 months leading up to March 31, 2025, VACCO reported revenues of approximately $118 million.

Dr. Michael J. Hartnett, Chairman and CEO of RBC, highlighted the strategic benefits of the acquisition, stating that VACCO’s expertise combined with RBC’s broad portfolio will enhance the company’s ability to meet customer demands in the growing space and naval submarine markets.

The transaction is anticipated to be finalized this summer, pending regulatory approval and standard closing conditions. RBC plans to finance the purchase through additional borrowings under its existing credit agreement and available cash reserves. The company’s strong financial position is evident through its healthy current ratio of 2.05 and low debt-to-capital ratio of 0.03, as reported by InvestingPro, which highlights 12 additional key insights about the company’s performance and valuation.

Upon completion, VACCO will become part of RBC’s Aerospace and Defense segment, promising to offer customers and partners a more integrated experience with a wider array of design, engineering, and manufacturing services. With annual revenue of $1.07 billion, RBC Bearings demonstrates the scale and capability to successfully integrate strategic acquisitions like VACCO into its operations.

This acquisition marks a significant move for RBC Bearings in strengthening its position and expanding its capabilities within its fastest-growing channels. The information is based on a press release statement from RBC Bearings Incorporated.

In other recent news, ESCO Technologies announced a strong performance in its second quarter of fiscal year 2025, with a 24% increase in adjusted earnings per share, reaching $1.35. The company also reported a 6.6% rise in sales, attributed to a 22% increase in orders, leading to a record backlog of $932 million. ESCO Technologies completed the acquisition of SMMP, now rebranded as ESCO Maritime Solutions, which is expected to contribute significantly to sales. Analysts had previously forecasted an EPS of $1.20, but the actual results surpassed expectations by approximately 12.5%. Despite these positive developments, the company’s stock saw a minor decline in after-hours trading. For the full fiscal year 2025, ESCO revised its sales growth guidance to 6-8% and adjusted EPS to a range of $5.65 to $5.85. The acquisition of ESCO Maritime Solutions is projected to add $90-100 million in sales, with low double-digit growth anticipated in 2026. Analysts from firms like CJS and Stephens continue to keep a close watch on ESCO’s strategic moves and market positioning.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.