Milwaukee-based W.T. Walker Group Inc.
has sold its subsidiary Walker Forge Tennessee LLC
to Indian firm Bharat Forge Ltd.
for $14 million. The transaction closed Nov. 30.
W.T. Walker Group is a family-owned holding company that now includes Walker Forge Inc.’s corporate office in Milwaukee and forging location in Clintonville, as well as heat treating company Precision Thermal Processing Inc. in Clintonville.
Walker Forge Tennessee is based in Surgoinsville, Tennessee. It manufactures complex, steel and high-alloy steel engine chassis components for customers in the automotive and industrial sectors. Its expected 2016 revenue is $28 million.
Bharat Forge is India’s largest exporter of auto components and a leading global manufacturer of chassis. Its annual revenue exceeds $1 billion. It acquired Walker Forge Tennessee through its U.S. subsidiary, Bharat Forge America, using a combination of internal accruals and debt.
In a statement, Bharat Forge said the acquisition will help establish a North American manufacturing presence and expand its passenger car and commercial vehicle product offerings, in addition to an increased presence in construction and mining and allied industries.
“The acquisition of Walker Forge Tennessee creates a strategic manufacturing footprint in North America to leverage our existing customer relationships while simultaneously enabling the company to address new end market segments and broaden the product portfolio,” said Baba Kalyani, chairman and managing director of Bharat Forge.
W.T. Walker Group did not respond to requests for comment.
Milwaukee-based investment bank Emory & Co. LLC
advised W.T. Walker Group on the transaction.
"Bharat Forge was the best strategic acquirer,” said John Emory, Jr., president of Emory & Co. “This provides an established U.S. footprint with a great workforce and equipment to drive growth, reduce costs and improve service in North America.”