OVIEDO, FL -- ROL Manufacturing has reached an agreement in principle to acquire specific assets of Corteco’s North American Traditional Aftermarket Business (TAB) from Freudenberg-NOK. Closing is expected to take place in June, subject to the fulfillment of customary closing pre-conditions.

Specifically, the agreement includes the assets in the U.S., Canada and Mexico which are related to Corteco Engine Gaskets & Seals, Omega Power Steering Hose, and MounTec Engine and Transmission Mounts.

“The addition of Corteco’s engine, power steering and mount products better enables us to exceed the ever increasing needs of our customers,” said Julian Haller, president, ROL Manufacturing.

“This transaction will enable Freudenberg-NOK to focus on providing aftermarket sealing solutions in the transmission and rebuilder (power steering) market segments through its TransTec brand and to OE Service and Tier 1 customers through its Freudenberg-NOK and Corteco brands,” said Tom Musgrave, president of the Corteco Division.

In addition, ROL Mfg. and Freudenberg-NOK have agreed to form a strategic alliance by means of a supply agreement to be executed at the time of the closing of the acquisition. The agreement provides for the exchange of services, parts and technology in order to maximize focus and service for their respective customers and markets.

“The acquisition coupled with our strategic alliance demonstrates ROL Mfg.’s focus to strengthen its position as a leader in the traditional aftermarket,” said Julian Haller.

“We are very excited about our strategic alliance with ROL and the opportunities it will bring in the future,” added Musgrave.

To ensure a seamless transition for its customers, customer service, product management, packaging and distribution for all three product lines will remain at Freudenberg-NOK’s Milan, OH, facility for up to one year, until these functions can be transferred to ROL’s facility in Oviedo, FL.

Following the acquisition, the Omega Power Steering Hose manufacturing plant in Solon, OH, and the Corteco de Mexico business in Queretaro, Mexico, will continue to operate as is and all employees are expected to be retained. The Newport, TN, gasket manufacturing plant will be closed. All manufacturing equipment and activity will be transferred to ROL’s new, state-of-the-art facility in Montreal, Canada. Several quality and plant management employees from the Newport facility will be retained on a contract basis by ROL Mfg.

For more information, visit: http://www.rolmfg.com.