The world's largest bearings maker SFK said it would acquire US-based Kaydon Corporation for $1.25bn in a bid to expand its business in North America.

The tender offer would start on 16 September and the acquisition is expected to be completed in the fourth quarter of 2013, subject to regulatory approvals.

Michigan-based Kaydon has over 2,100 employees worldwide and manufactures bearings, velocity control products and so-called specialty products. The company had sales of $475m (£305m, €362m) in 2012, with an adjusted operating profit of around 16%, according to an SKF statement.

Kaydon has a strong presence in North America, which accounts for 62% of its sales. Europe accounts for 24% of the company's sales.

The purchase will help Sweden-based SKF reduce its dependency on its home market, Europe, which still accounts for about 50% of its sales. It will also provide access to Kaydon's North American manufacturing footprint.

Kaydon's stock was trading 22.94% higher to $35.53 at 9:43am in New York on Thursday. SKF's stock was trading 0.22% higher to 180.40 Swedish kronas at 3:45pm in Stockholm on Thursday.

SKF has offered $35.50 per Kaydon share - 22% higher than the closing price on 3 September. The all-cash deal valued Kaydon at 12.7 times adjusted earnings before interest, tax, depreciation and amortization (EBITDA).

"We have followed the development of Kaydon for a long time. They have a strong product portfolio, strong management and a solid financial performance ... In particular this acquisition, combined with our other activities, investments and acquisitions in the last few years, shows our strong commitment to the North American market," SKF President and Chief Executive Tom Johnstone said.

The move by SKF is expected to result in annual cost synergies of $30m. Sales synergies, such as being able to distribute Kaydon products through the SKF distribution network worldwide, are expected to hover around $50m.

JPMorgan was the exclusive financial advisor to SKF and Reed Smith provided legal counsel.