Timken (www.timken.com), which specialises in engineered bearings and mechanical power-transmission products, has reached an agreement to acquire Groeneveld Group — a provider of automatic lubrication solutions used in on- and off-highway applications — for about $280 million.

For the 12 months ending 31 May 2017, Groeneveld Group sales were about $105 million.

Richard Kyle, Timken president and CEO, said: “The acquisition of Groeneveld will further expand our presence in the automatic lubrication systems space, which we entered in 2013 with our acquisition of Interlube.

“Groeneveld will bring a strong brand and management team, a global customer base and an industry-leading product portfolio that has an attractive market position in off-highway equipment and heavy trucks.”

Groeneveld Group, which employs about 600 people, has its headquarters in Gorinchem (Netherlands) and manufacturing facilities in Italy.

Automatic lubrication delivery systems that enhance vehicle and machine up-time through automated maintenance and safety support are the major part of the company’s offering.

As part of the transaction, Henk Groeneveld — sole shareholder and non-executive president — will be retiring from the company. The transaction is being funded with a combination of cash and debt.