Dover Corp. said it would sell its Sargent Aerospace & Defense unit to RBC Bearings Inc. for $500 million, a deal that comes two months after the industrial equipment maker outlined plans to divest the operations.

Dover said in January when it reported its results for the fourth quarter that it intended to sell the unit, which supplies precision-engineered components and aftermarket services.

The company said at the time that it expected the sale to occur in the second quarter.

RBC Bearings, which manufactures roller and ball bearings, said the unit's products complement its own and it intends to finance the deal with a combination of cash and debt. It expects the deal to add 25 cents to 35 cents a share to its earnings in the first year.

Dover has sought recently to boost shareholder value through a variety of maneuvers, including restructuring. In December, the company agreed to sell its Datamax-O'Neil printer making business to Honeywell International Inc. for $185 million.

The company lowered its outlook for the year in January, blaming the rapid decline in oil prices, as well as effects from discontinued operations.

Write to Lauren Pollock at lauren.pollock@wsj.com

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