The transaction has been approved by each company's board. However, it is subject to customary closing conditions, including regulatory approval.
Parker Hannifin's engineered materials group will become home to Lord when the deal completes. Both companies use polyurethane extensively in their product ranges.
Lord will also strengthen Parker's portfolio with complementary products in markets such as aerospace, defence, automotive and industrial. Parker said Lord's products provide opportunities in emerging electrification and lightweighting trends.
Recently, the firm began construction on an expansion in Hueckelhoven, Germany. This is a $15.8m investment to build a 35,000-sq.-ft. addition adjacent to the current 70,000-sq.-ft. facility. when it starts operation in 2020 it will create over 20 new jobs.
By Chris Sweeny.
This story first appeared in Rubber & Plastics News.