ASSA ABLOY to Acquire Hardware and Home Improvement Division of Spectrum Brands
Assa Abloy has signed a definitive agreement to acquire the Hardware and Home Improvement (“HHI”) division of Spectrum Brands for a purchase price of $4,300 million on a cash and debt free basis.
Spectrum Brands’ Hardware and Home Improvement division is a provider of security, plumbing and builders’ hardware products to the North American residential segment with a product offering of locksets, faucets and builders´ hardware. HHI's portfolio includes patented SmartKey technology and electronic, smart and biometric locks. Key brands include Kwikset, Baldwin, Weiser, Pfister and National Hardware. For the fiscal year ending September 2020, HHI’s net sales were $1,342 million with adjusted EBITDA margin of around 19 percent. It is headquartered in Lake Forest, California, with about 7,500 employees worldwide and has manufacturing facilities in the U.S., Mexico, Taiwan, China and the Philippines.
"HHI is an excellent addition to the Assa Abloy Group and constitutes an important strategic step in developing our residential business in North America. This acquisition advances our strategy to strengthen our position by adding complementary products to the core business and it will further accelerate the transformation from mechanical to digital solutions,” says Nico Delvaux, president and CEO of Assa Abloy. “I look forward to welcoming HHI and all of its employees into the Assa Abloy Group.”
"The acquisition of HHI brings strong, well-known brands and high-quality, innovative products to the residential portfolio for Assa Abloy in North America, complementing our current business with a passionate and experienced team,” says Lucas Boselli, executive vice president of Assa Abloy and head of the Americas division. “Our technology platform and innovation focus supplements HHI’s current offerings, and provides an exciting opportunity for us to deliver superior value to consumers.”
"After stewarding this asset for the past decade, the board of directors and I are confident that Assa Abloy is uniquely positioned to take our HHI business and team members to the next level of performance and achievement. I am personally excited to see the innovation and exciting new products that this transaction will unlock for future generations,” says David M. Maura, executive chairman and CEO of Spectrum Brands Holdings Inc.
