UPDATE 1-Stanley Black & Decker to buy Infastech for $850 mln

Tue Jul 24, 2012 3:35am IST

Stocks

   

* To buy Infastech from CVC, StanChart Private Equity

* Deal to add 15 cents/share in first year following closing

July 23 (Reuters) - Tool maker Stanley Black & Decker said it agreed to acquire privately held Infastech, a maker of engineered mechanical fasteners, for $850 million in cash to expand its footprint in emerging markets.

Singapore-based Infastech, which is backed by CVC Capital Partners and Standard Chartered's private equity arm, posted revenue of about $500 million in 2011, half of which came from the Asia-Pacific region.

Reuters, quoting sources, reported in May that Stanley Black & Decker is among potential bidders for Infastech.

"It is an excellent complement to our current Emhart Teknologies engineered fastening business and will broaden our product offering, while deepening our IP portfolio and R&D capabilities," President and Chief Executive John Lundgren said in a statement.

The acquisition is expected to add 15 cents per share in the first year following the closing of the transaction and 35 cents in the third year, excluding acquisition-related charges.

The company expects to save $25 million annually by the third year of the transaction, which is expected to close in the fourth quarter of 2012.

Shares of Stanley Black & Decker closed at $64.99 on the New York Stock Exchange on Monday.

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Press Event

Press Event

Modi takes tea, but no questions, in first press event as PM.  Full Article 

School Shooting

School Shooting

Two killed, four wounded in Washington state school shooting.  Full Article 

Sundar Pichai Elevated

Sundar Pichai Elevated

Google's Pichai to oversee major products and services.  Full Article 

Need For Reforms

Need For Reforms

Euro zone risks "relapse into recession" without structural reforms - Draghi.  Full Article 

Diwali Sales

Diwali Sales

Gold sales jump about 20 pct for Diwali - trade body  Full Article 

World Bank Rival

World Bank Rival

Three major nations absent as China launches W.Bank rival in Asia  Full Article 

Wal-Mart India

Wal-Mart India

Murali Lanka appointed as Wal-Mart India operations chief  Full Article 

Health Of Lenders

Health Of Lenders

25 European banks set to fail health checks - sources.  Full Article 

India Insight

India Insight

Kalki Koechlin on her role as a disabled girl in “Margarita, With a Straw”  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage