Carlisle Companies sells transportation business
Local workers may be affected after Carlisle Companies announced that a New York company is buying its transportation products segment for $375 million.
Carlisle reported that American Industrial Partners is expected to pay cash for the products segment. When asked if the sale would have implications for Carlisle Tire & Wheel in Aiken, the company responded that it was not at liberty to comment at the time.
September reports indicate the Aiken business employs 188 people.
David Roberts, Carlisle president and CEO, stated that the transportation products segment is “not core to Carlisle's growth strategy nor supportive of our long-term operating profit goals and expectations.”
The sale is expected to be finalized in the first quarter and will reduce Carlisle's employment by about 4,400 employees.
The transportation products segment recorded sales of $778 million in 2012. The company produced a profit margin of 6.7 percent, which is below the double-digit margins the company's other segments produced last year.
Last month, Roberts said the company would use proceeds from the sale to a buy a business with a higher profit margin. If that proves unsuccessful, then Carlisle would consider buying back shares of the transportation business from its new owner.
Carlisle Companies is a manufacturing company based in Charlotte, N.C. The company sells construction materials, commercial roofing products, specialty tire and wheel products, among other things.
Derrek Asberry is a beat reporter with the Aiken Standard news team and joined the paper in June. He is originally from Vidalia, Ga., and graduated from Georgia Southern University with a journalism degree in May 2012.