Benzinga | Sep 1, 2021 11:10AM EDT

Regal Beloit Shareholders Approve Share Issuance Necessary For Combination With Rexnord PMC; Shareholders Also Approve Name Change And Increase In Authorized Shares

Regal Beloit Corporation (NYSE:RBC) today announced that, at a special meeting of the shareholders ("the Special Meeting") held on September 1, 2021, Regal shareholders overwhelmingly1 approved the issuance of shares of Regal common stock necessary to complete the previously announced combination of Rexnord Corporation's (NYSE:RXN) Process & Motion Control ("PMC") business with Regal in a Reverse Morris Trust transaction.

In addition, Regal shareholders overwhelmingly approved the amendment and restatement of Regal's Articles of Incorporation to effect a change in the company name to "Regal Rexnord Corporation" and to increase the number of authorized shares of Regal common stock.

Commenting on the outcome of the Special Meeting, Regal CEO, Louis Pinkham, said "It's great to see such strong support from our shareholders for the merger with Rexnord PMC, which is consistent with our expectation that the transaction will create tremendous value for all our key stakeholders. Having now passed this last significant milestone on the path to close, we look forward to finalizing the merger early in the fourth quarter. Our robust integration planning activities, which have been under way since we announced the transaction back in February, have advanced nicely, and our teams are prepared -- and very eager -- to hit the ground running when the integration process begins."

"The outcome of the shareholder meeting also has real symbolic significance, given approval of our planned name change to Regal Rexnord. The name signifies bringing together the complementary strengths of our two corporations and highlights our common future as a leader in the engineering and manufacturing of power transmission solutions and high-efficiency electric motors and systems. The new Regal Rexnord will help make modern life possible, by providing critical components and integrated solutions that support a range of necessary applications across the HVAC, agriculture, food service, metals and mining, manufacturing and e-commerce end markets -- to name just a few."

Regal expects the closing of the transaction joining the company with Rexnord's PMC business to occur early in the fourth quarter of 2021, subject to the satisfaction of the remaining closing conditions.