Twin Disc Sells Belgium Facility

Twin Disc said it sold the Belgian facility that manufactures marine transmissions in one of two leasebacks the company conducted after facing revenue losses last year.

The Racine, Wis.-based manufacturer sold the 390,000-square-foot facility in Nivelles, Belgium, including a plot of land and all buildings, for €6.95 million, around $6.42 million by today’s exchange rate.

It continues to operate out of the facility, which also supports Twin Disc industrial products.

“The sale of our Belgium facility is a continuation of an asset optimization strategy,” president and CEO John Batten said in a statement. “Our approach to right-sizing our footprint makes Twin Disc more efficient, cost-effective and sustainable. We continue to invest in modernizing our global facilities, including the anticipation of a new, modern facility in Belgium.”

It’s the second such deal Twin Disc has struck in recent months. The company sold and leased back its Rolla production facility in Switzerland, yielding net proceeds of $9.1 million, according to its most recent earnings release.

Twin Disc booked a $7.87 million profit in its most recent fiscal quarter, citing higher revenue, price increases and widening profit margins. That was up from the $21.5 million loss it experienced in the prior quarter.