Gates Industrial Corporation plc (NYSE: GTES) announced it has entered into a definitive agreement to acquire the belts business from The Timken Company (NYSE: TKR), including select manufacturing assets. The companies did not disclose financial terms of the transaction.

The acquisition involves Timken's North American-based belts manufacturing operations that serve industrial and mobility markets through both original equipment manufacturer and aftermarket channels. Gates, which manufactures power transmission and fluid power solutions globally, said the deal will expand its market presence in these segments.

"Gates is expanding customer access and opportunities in priority markets, such as the industrial OEM and aftermarket channels, as well as the power sports segment of our mobility business unit," said Tom Pitstick, President, Americas at Gates. "The acquisition of the belts business from Timken broadens our channel and application coverage."

The transaction is expected to close in the third quarter of 2026, subject to customary closing conditions. Both companies will continue to operate as separate entities until the deal closes.

Gates operates as a global manufacturer serving diverse aftermarket customers and original equipment manufacturers across industrial and consumer markets. The company sells products in more than 130 countries across the Americas, Europe, Middle East and Africa, and Asia Pacific regions.

The information is based on a press release statement from Gates Industrial Corporation.