Diversified manufacturer SPX Corp. said today it plans to sell its Contech auto-components unit in a $146 million cash deal, as part of its move away from basic industrial components.
SPX said it expected the sale to Marathon Automotive Group LLC, a company formed by Marathon Asset Management LLC, to close in the second quarter. Contech, based in Portage, Mich., has annual revenue of about $300 million and was reported as a discontinued operation at the end of the third quarter, SPX said in a statement.
SPX last year reported net revenue of $4.31 billion.
The Charlotte, N.C.-based maker of fluid-handling products, automotive diagnostic tools and cooling towers said it will put most of the proceeds of the deal toward repurchasing its shares.