SKF Successfully Completes Sale of Aerospace Division in Elgin, Illinois

SKF Finalizes Divestment of Aerospace Operation in Elgin, USA

On January 30, 2026, SKF announced the completion of the sale of its precision elastomeric device (PED) operation located in Elgin, Illinois. This divestment, part of the company's broader strategy, aims to concentrate on its core aerospace sectors. The operation has been sold to Carco PRP Group for a total enterprise value of 75 million USD, translating to approximately 675 million SEK. This strategic move is anticipated to yield a capital gain of about 0.4 billion SEK in the upcoming first quarter, although it will be categorized as an item affecting comparability in the financial reports.

Hans Landin, President of Specialized Industrial Solutions at SKF, highlighted the significance of this divestment, stating, "This concludes our strategic review concerning the aerospace division and is essential for exiting non-core business lines. Our main focus is now directed towards driving innovation and achieving profitable growth within our remaining aerospace operations."

A Shift Towards Core Aerospace

Aerospace constitutes a vital segment of SKF's operations, accounting for roughly 10% of its industrial sales. Moving forward, SKF intends to enhance its efforts in core areas such as aeroengine and aerostructure bearing offerings. Key initiatives will involve boosting operational efficiency, expanding capabilities, and modernizing the Group’s factories.

This decision comes in the wake of a strategic evaluation initiated by SKF in August 2025 to assess the viability and long-term prospects of its aerospace operations. The findings affirmed that the greatest potential for growth and innovation lies in concentrating all efforts on core activities and eliminating any non-essential operations.

Previous Strategic Moves

This divestment is not an isolated event; it follows SKF's earlier decision to sell its ring and seal operations in Hanover, USA in April 2025, as well as another divestment of a non-core aerospace operation for a significant 220 million USD in late October 2024. These measures clearly outline SKF's commitment to refining its portfolio, ensuring that resources and talents are focused on high-growth sectors.

With this streamlined approach, SKF aims to reinforce its leadership in the aerospace industry by investing in research, development, and manufacturing capabilities aligned with future aerospace demands and technologies. The firm’s strategy underlines a proactive stance towards maintaining competitiveness in a rapidly evolving market.

Looking Ahead

In conclusion, SKF's recent divestment illustrates a pivotal strategy to hone in on its aerospace capabilities while shedding less essential operations. This shift not only promises to enhance shareholder value but also positions SKF favorably for future innovation and industry growth. As the company channels its resources into core aerospace disciplines, stakeholders can anticipate robust developments and advancements that embody SKF’s commitment to modernization and excellence in engineering.

For more information, the press relations can be contacted at Carl Bjernstam, or for investor inquiries, Sophie Arnius can provide additional insights into the business adjustments and future innovations at SKF.