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Enerpac Tool Group to Acquire Specialized Fabrication Equipment

Tipranks - Fri Jul 10, 5:42AM CDT

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Enerpac Tool Group ( (EPAC) ) has shared an announcement.

On July 7, 2026, Enerpac Tool Group agreed to acquire Specialized Fabrication Equipment Group for roughly $472 million in cash, valuing the target at about 10.6 times trailing adjusted EBITDA on sales of $170 million and adjusted EBITDA of $44 million. The deal, expected to close in the first quarter of fiscal 2027 pending regulatory approvals, will make SFE a wholly owned subsidiary and is positioned to expand Enerpac’s industrial tools portfolio, geographic reach and total addressable market by about $1 billion.

The merger agreement includes customary conditions, regulatory clearances in the U.S. and Europe, and incentive structures that use restricted stock units and equity-based escrows to retain SFE’s key executives, with SFE’s CEO staying on as president of the business. To fund the acquisition, Enerpac amended its senior credit facility on July 7, 2026, lifting its revolving credit line from $400 million to $625 million and signaling a willingness to modestly increase leverage, with management indicating the transaction should be accretive to adjusted earnings from fiscal 2027.

The most recent analyst rating on (EPAC) stock is a Buy
with a $51.00 price target.
To see the full list of analyst forecasts on Enerpac Tool Group stock,
see the EPAC Stock Forecast page.

Spark’s Take on EPAC Stock

According to Spark, TipRanks’ AI Analyst, EPAC is a Outperform.

EPAC’s score is driven primarily by strong underlying financial performance (healthy margins, strong ROE, solid free cash flow, and a low-debt profile). The earnings outlook is supportive on cash flow and products but constrained by service weakness and margin pressure. Technicals remain a notable drag given the stock’s position below key longer-term moving averages and generally weak momentum, while valuation is helped by the very high dividend yield despite a mid-range P/E.

To see Spark’s full report on EPAC stock,
click here.

More about Enerpac Tool Group

Enerpac Tool Group is a Milwaukee-based provider of industrial tools, services, technology and solutions used in mission-critical applications across more than 100 countries. The company specializes in high-pressure hydraulic tools, controlled force products and systems for precise positioning of heavy loads, serving a broad range of industrial end markets as a pure-play tools and solutions platform.

SFE Group, headquartered in Houston, is a global industrial equipment maker focused on pipe fabrication, welding, portable machining and maintenance tools. Formed in 2019 through a series of mergers and acquisitions, it operates 12 established brands and supplies sectors including aerospace and defense, energy, manufacturing, utilities, power generation, semiconductors and other infrastructure-heavy industries.

Average Trading Volume: 464,621

Technical Sentiment Signal: Buy

Current Market Cap: $1.88B

For detailed information about EPAC stock, go to TipRanks’ Stock Analysis page.

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