RBC Bearings has signed a deal to acquire Dover’s Sargent Aerospace & Defense business for $500m.

Headquartered in Tucson, Arizona, US, Sargent provides precision-engineered components and aftermarket services for aircraft airframes and engines, rotorcraft, submarines and land vehicles.

The company produces hydraulic valves and actuators, specialty bearings, specialty fasteners, seal rings and alignment joints, as well as precision components. Its products are offered under Kahr Bearing, Airtomic, Sonic Industries, Sargent Controls, and Sargent Aerospace & Defense brands.

"The sale of Sargent is consistent with our strategy to focus our business mix around our key growth spaces and end-markets."

Sargent operates six facilities in three countries and has a workforce of more than 750. It records annual revenues of $195m.

RBC Bearings said that Sargent’s manufacturing processes and design expertise complements with its existing capabilities.

The company plans to finance the transaction through a combination of cash on hand and senior debt.

RBC Bearings expects the acquired business to contribute up to $0.35 per diluted share for the first twelve months of operations, annual run-rate synergies of $7.5m over five years and $78m in tax benefits.

Dover president and CEO Robert Livingston said: "The sale of Sargent is consistent with our strategy to focus our business mix around our key growth spaces and end-markets.

"Sargent has a long track-record of providing innovative products and solutions to its customers."

Subject to customary closing conditions and regulatory review, the transaction is expected to close in the second calendar quarter of 2015.

Lazard and Moelis & Company provided financial advisory services to Dover and RBC Bearings respectively for the transaction.

RBC Bearings provides engineered precision bearings and components for industrial, aerospace, and defence markets. It has 2,510 employees across 25 manufacturing facilities in five countries.