Regal Rexnord Corp Stock Price, News & Analysis

On March 27, 2023, Regal Rexnord completed its acquisition of Altra Industrial Motion for $4.95 billion, enhancing its automation portfolio and positioning it for accelerated growth. The merger is expected to generate $160 million in annual cost synergies by year four and is aimed at achieving a net debt/EBITDA ratio below 2.5x by 2025. Regal Rexnord anticipates significant revenue growth in secular markets, with pro forma revenue projections reaching $8.3 billion by 2025 and adjusted EPS of ~$18. The company aims for an adjusted gross margin of ~40% in 2025, up from 33% in 2022, driven by improved product mix and operational efficiencies.

Regal Rexnord Corporation (NYSE: RRX) announced the expiration of its cash tender offer and consent solicitation for the 6.125% Senior Notes due 2026, with the final deadline on March 22, 2023. As of the expiration date, the corporation accepted $365,560,000 of the notes, representing 95.28% of the outstanding principal. Payment for the accepted notes is scheduled for March 27, 2023. The total consideration for each $1,000 of the notes is $1,017.50, which includes an early participation premium. J.P. Morgan Securities LLC acted as Dealer Manager for the offer. The announcement indicates significant interest in the tender offer, enhancing Regal Rexnord's financial flexibility.

Regal Rexnord Corporation (NYSE: RRX) announced the extension of its cash tender offer and consent solicitation for the outstanding 6.125% Senior Notes due 2026, increasing the expiration date to 5:00 p.m. New York City time on March 21, 2023. Holders have until the new expiration date to tender their Notes. As of March 20, 2023, tenders of approximately $365.56 million, or 95.28% of the total outstanding Notes, have been received. This tender offer is subject to certain conditions, including the completion of a merger with Altra Industrial Motion Corp. The total consideration for the Notes is set at $1,017.50 per $1,000 principal amount.

Regal Rexnord Corporation (NYSE: RRX) has announced an extension of its cash tender offer and consent solicitation for its 6.125% Senior Notes due 2026. The expiration date is now set for March 20, 2023, following an initial date of March 13, 2023. As of the latest update, holders have tendered approximately $361.1 million of the $383.7 million total outstanding notes, representing about 94.12% of the total amount. The tender offer is contingent on the successful completion of a merger involving Regal Rexnord's subsidiary, Aspen Sub, Inc., and Altra Industrial Motion Corp. Interest will also be paid in addition to the tender consideration.

Regal Rexnord Corporation (NYSE: RRX) announced the successful completion of its cash tender offer and consent solicitation for the 6.125% Senior Notes due 2026, with tenders totaling $361,122,000, representing approximately 94.12% of the total outstanding principal. The company received the necessary consents for amendments to the indenture, eliminating restrictive covenants related to a merger with Altra Industrial Motion Corp. This completion is a step toward the proposed merger, and payment for the tendered Notes is contingent on certain conditions being met. The Tender Offer's terms will remain in effect and may be amended further.

Regal Rexnord Corporation (NYSE: RRX) announced a cash tender offer to purchase all outstanding 6.125% Senior Notes due 2026 from Stevens Holding Company, a subsidiary of Altra Industrial Motion Corp. The Tender Offer expires on March 13, 2023, unless extended. Holders of validly tendered notes by February 24, 2023 will receive $1,017.50 per $1,000.00 face value, including a $50.00 early participation premium. Additionally, a Change of Control Offer has been initiated, contingent on the merger with Altra. Notably, completion of these offers depends on receiving requisite consents and the merger's consummation.

Regal Rexnord Corporation (NYSE: RRX) reported strong fourth quarter results, with sales up 2% year-over-year and an impressive 4% organic growth. The company announced a transformational acquisition of Altra Industrial Motion Corp., alongside a strategic review of its motors and generators segment. GAAP net income increased significantly to $102.7 million, with adjusted diluted EPS rising to $2.64 from $2.16 in the previous year. For 2023, RRX anticipates GAAP diluted EPS in the range of $5.64 to $6.44. The company achieved a 165% free cash flow conversion and raised its adjusted EBITDA margin by 310 basis points.

Regal Rexnord Corporation (NYSE: RRX) has successfully completed a $4.7 billion senior unsecured notes offering, issuing various notes with rates from 6.05% to 6.40% maturing between 2026 and 2033. The proceeds will fund its merger with Altra Industrial Motion Corp., repay existing Senior Notes due 2032, and address Altra's debts. CEO Louis Pinkham noted the oversubscription of the offering as a strong endorsement of their investment strategy. The merger aims to enhance Regal Rexnord's growth and cash generation capabilities. This acquisition follows a prior agreement announced in October 2022.

On January 23, 2023, Regal Rexnord Corporation (NYSE: RRX) declared a $0.35 quarterly dividend, payable on April 14, 2023, to shareholders of record by March 31, 2023. This marks a continuous dividend payment since January 1961. Regal Rexnord, a leader in industrial powertrain solutions and energy-efficient technologies, operates across four segments: Motion Control Solutions, Climate Solutions, Commercial Systems, and Industrial Systems. Headquartered in Beloit, Wisconsin, the company focuses on sustainable practices that benefit both customers and the environment.