Schaeffler Group Sells Subsidiary Lacey Manufacturing Inc

Strategic Business Decision by Schaeffler Group

The Schaeffler Group, headquartered in Herzogenaurach, Germany, has announced the sale of its U.S. subsidiary, Lacey Manufacturing Inc. (Bridgeport, Connecticut), effective October 31, 2008. The buyer is Precision Engineered Products Inc. (PEP), based in Attleboro, Massachusetts.

This strategic move reflects Schaeffler’s focus on its core business areas, which include rolling bearings—such as Thin Section Bearings and Miniature Thrust Bearings—as well as linear technology and automotive components for engines, gearboxes, and chassis systems.

Lacey Manufacturing’s Role in the Medical Industry

Lacey Manufacturing specializes in producing medical and surgical equipment. With approximately 275 employees, the company designs and manufactures precision assemblies for the medical engineering market, including injection molding components and wire implants. For 2008, sales are projected at around USD $43 million.

Lacey was originally acquired by Schaeffler in 2001 as part of the takeover of FAG Kugelfischer AG. However, as its focus lies outside of Schaeffler’s industrial and automotive portfolio, the divestment ensures stronger alignment with the group’s long-term business strategy.

Precision Engineered Products Expands Core Business

Precision Engineered Products is a well-known manufacturer of high-quality precision components and Chrome Steel Bearing parts. With facilities in the United States, Mexico, and China, PEP serves a broad range of industries.

The acquisition of Lacey Manufacturing allows PEP to expand and strengthen its medical technology division, reinforcing its position as a trusted global supplier of engineered solutions.

Undisclosed Purchase Price

Both parties have agreed not to disclose the financial details of the transaction.