On Friday, Wabtec -- a.k.a. Westinghouse Air Brake Technologies -- announced that it has acquired U.K.-based Napier Turbochargers, a maker of turbochargers for high-horsepower engines used in the power generation and marine markets.
The move into turbochargers appears to be a departure for Wabtec, which has historically focused on manufacturing products for the railroad industry, which provides the majority of its revenues. Nonetheless, the move is a small one. In a press release on the acquisition, Wabtec noted that Napier's annual sales amount to only $55 million -- less than 3% of Wabtec's own annual revenue.
Also lending some comfort, Wabtec says it expects the deal to be accretive to earnings in its first year. Further financial details on the acquisition, including the actual purchase price, were not disclosed.
The article Wabtec Buys Napier originally appeared on Fool.com.Fool contributor Rich Smith has no position in any stocks mentioned. The Motley Fool recommends Westinghouse Air Brake Technologies. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.