Drives and Controls Magazine
Home
Menu
World’s number 2 motor-maker slims down its brands
Published:  10 June, 2013

Regal, which claims to be the world’s second-largest motor-maker, is consolidating its global activities into four main brands – Marathon, Leeson, Fasco and Genteq.

Regal, which began life in 1950 as a buy-out from General Electric, was known until last year as Regal Beloit. The US$3.7bn group, which now employs around 27,000 people worldwide, has been expanding by about 25% a year, both organically and through acquisitions.

Since 1955, the company has made around 70 acquisitions and began a global transformation into a global motor manufacturer with the acquisition of GE’s commercial AC and HVAC motor businesses in 2004. In 2011, it made the biggest-ever acquisition when it bought AO Smith’s motors business for $875m, adding $700 of revenues to its business.

Other acquisitions in recent years have included Unico in the US, Rotor and Dutchi in the Netherlands, and CMG in Australia. Regal also owns other businesses including Lincoln Motors, Genteq, Century, Durst, Milwaukee Gear, Mastergear, Grove Gear and Electra Gear.

“Naturally this has led to a proliferation of brands,” explains Lucie Hodkova, UK national sales and quality manager for Regal Beloit UK (RBC UK) and Rotor UK. “We have now reached a point in our development where it is beneficial for the market if we bring groups of similar motors together under unified identities.

“We employ nearly 6,000 people in China alone, across 12 different facilities,” she adds. “It makes commercial sense to bring them all together under one global brand so that users appreciate the strength in depth that we offer.”

Part of Regal’s vast portfolio which is now being brought together under four brand names

Under the changes, Dutchi, CMG and Hwada in China are all adopting the Marathon name. CMG UK has become RBC UK and is promoting IEC and Nema motor ranges under the Marathon name.

Marathon now has more than 75 manufacturing plants in the US, UK, India, China, Italy, Mexico, Brazil and Germany. As well as motors, Regal also supplies variable speed drives, gearboxes, generators, blowers and related technologies.

“Motor manufacturing has been trending towards full globalisation for 10 or 20 years,” Hodkova says. “As world number two, we are ahead of the curve, and it is right that we celebrate this fact by developing a strong brand.”