On July 22, Stanley Black& Decker announced that it completed the previously announced sale of most of its Security assets to Securitas AB for $3.2 billion in cash.
The transaction was initially announced on Dec. 8, 2021. Net proceeds from the sale are expected to fund debt reduction and the $2.3 billion share repurchase completed in the first quarter, the company said.
“The completed sale of our Security business is another major milestone in creating a more focused Stanley Black & Decker, leveraging our leadership position in Tools and Outdoor, as well as our highly engineered Industrial business,” said Donald Allan, Jr., Stanley Black & Decker’s president & CEO.
Security generated approximately $1.6 billion in revenue in 2021 with adjusted EBITDA margin in the low double-digits, implying a purchase price of approximately 16 times trailing adjusted EBITDA, which reflects the successful transformation of the business over the last several years, the company said.
Related Posts
-
Jaime Ramirez steps down as EVP and president in tools & storage, while Robert Raff…
-
In addition to the leadership announcement, the company plans to invest up to $250 million…
-
The sale encompasses pipeline services and equipment businesses, which generated combined revenues of approximately $140…