Acquisition to change face of industrial fractional HP motors market

AMETEK, Inc. finalized the acquisition of the German small motor company Dunkermotoren GmbH on May 21, 2012.


AMETEK, Inc. finalized the acquisition of the German small motor company Dunkermotoren GmbH on May 21, 2012. The company joined AMETEK as part of the Precision Motion Control division of AMETEK’s Electromechanical Group. IMS Research (recently acquired by IHS Inc.) has identified AMETEK and Dunkermotoren as two of the top 10 manufacturers of industrial fractional HP motors around the world, and the acquisition is expected to boost AMETEK’s market share substantially.

AMETEK and Dunkermotoren’s products complement each other in several industries including factory automation and medical. Dunkermotoren is a competitive manufacturer of industrial small motors in Europe and Asia, which will be beneficial to AMETEK in building a stronger presence outside of the Americas.

“Multiple acquisitions by other leading motor manufacturers such as ABB, Regal Beloit and Nidec have really changed the competitive landscape for industrial fractional HP motor suppliers,” said Bryan Turnbough, market research analyst with IMS Research. “Since the downturn, larger companies have been finding new areas of growth through acquisitions while smaller companies are struggling to keep up. This is changing the competitive dynamics of the industrial fractional HP motors market, which is growing between 3% and 4% annually.”

According to IMS Research, major acquisitions by companies such AMETEK and Regal Beloit of other notable players in the market are driving the top half of the market to become much more consolidated compared to the bottom half. IMS Research’s study The World Market for Industrial Fractional Horsepower Motors indicates the market leaders for fractional HP DC motors are typically precision oriented companies such as AMETEK and Dunkermotoren while smaller companies producing standard products with low margins struggle to compete with these high-end manufacturers.

AMETEK’s acquisition is a sign that activity in the industrial fractional HP motors market has not slowed despite the low single-digit annual growth. The substantial increase in revenues from the acquisition is likely to bolster a much stronger market share position for Ametek, and may threaten the dominance of the top two suppliers, Maxon and Faulhaber. This move by AMETEK has given industrial fractional HP motors suppliers big and small a lot to consider as the landscape of the market continues to change.

No comments
The Top Plant program honors outstanding manufacturing facilities in North America. View the 2013 Top Plant.
The Product of the Year program recognizes products newly released in the manufacturing industries.
The Engineering Leaders Under 40 program identifies and gives recognition to young engineers who...
Sister act: Building on their father's legacy, a new generation moves Bales Metal Surface Solutions forward; Meet the 2015 Engineering Leaders Under 40
2015 Mid-Year Report: Manufacturing's newest tool: In a digital age, digits will play a key role in the plant of the future; Ethernet certification; Mitigate harmonics; World class maintenance
2015 Lubrication Guide: Green and gold in lubrication: Environmentally friendly fluids and sealing systems offer a new perspective
Drilling for Big Data: Managing the flow of information; Big data drilldown series: Challenge and opportunity; OT to IT: Creating a circle of improvement; Industry loses best workers, again
Pipeline vulnerabilities? Securing hydrocarbon transit; Predictive analytics hit the mainstream; Dirty pipelines decrease flow, production—pig your line; Ensuring pipeline physical and cyber security
Cyber security attack: The threat is real; Hacking O&G control systems: Understanding the cyber risk; The active cyber defense cycle
Designing positive-energy buildings; Ensuring power quality; Complying with NFPA 110; Minimizing arc flash hazards
Building high availability into industrial computers; Of key metrics and myth busting; The truth about five common VFD myths
New industrial buildings: Greener, cleaner, leaner; New building designs for industry; Take a new look at absorption cooling; Offshored jobs start to come back

Annual Salary Survey

After almost a decade of uncertainty, the confidence of plant floor managers is soaring. Even with a number of challenges and while implementing new technologies, there is a renewed sense of optimism among plant managers about their business and their future.

The respondents to the 2014 Plant Engineering Salary Survey come from throughout the U.S. and serve a variety of industries, but they are uniform in their optimism about manufacturing. This year’s survey found 79% consider manufacturing a secure career. That’s up from 75% in 2013 and significantly higher than the 63% figure when Plant Engineering first started asking that question a decade ago.

Read more: 2014 Salary Survey: Confidence rises amid the challenges

Maintenance and reliability tips and best practices from the maintenance and reliability coaches at Allied Reliability Group.
The One Voice for Manufacturing blog reports on federal public policy issues impacting the manufacturing sector. One Voice is a joint effort by the National Tooling and Machining...
The Society for Maintenance and Reliability Professionals an organization devoted...
Join this ongoing discussion of machine guarding topics, including solutions assessments, regulatory compliance, gap analysis...
IMS Research, recently acquired by IHS Inc., is a leading independent supplier of market research and consultancy to the global electronics industry.
Maintenance is not optional in manufacturing. It’s a profit center, driving productivity and uptime while reducing overall repair costs.
The Lachance on CMMS blog is about current maintenance topics. Blogger Paul Lachance is president and chief technology officer for Smartware Group.