ASSA ABLOY to acquire Spectrum Brands home improvement division for US$4.3B
ASSA ABLOY announced Thursday it has signed a definitive agreement to acquire the Hardware and Home Improvement (HHI) division of Spectrum Brands for US$4.3 billion in cash.
Spectrum Brands’ Hardware and Home Improvement division includes brands such as Kwikset, Baldwin, Weiser, Pfister and National Hardware. HHI is headquartered in Lake Forest, Calif. with 7,500 employees worldwide. It has manufacturing facilities in the United States, 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,” said Nico Delvaux, president and CEO, ASSA ABLOY, in a statement. “I look forward to welcoming HHI and all of its employees into the ASSA ABLOY Group.”
“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,” added David Maura, executive chairman and CEO, Spectrum Brands Holdings Inc.
ASSA ABLOY said in a press release that the acquisition is strategically important to the development of its residential business in North America. HHI will become part of the Opening Solutions Americas Division.
In a separate statement, Spectrum brands said that the sale will allow it to focus on three business units: global pet care, home & garden, and home & personal care.
The transaction is conditional upon regulatory approval and customary closing conditions and is expected to close in the fourth quarter of 2021.