09 August 2013
Nova Capital Acquires A Portfolio of U.S. Home Improvement and Hardware Businesses from Newell Rubbermaid
CHICAGO and LONDON - August 9, 2013 - Nova Capital ("Nova"), the specialist acquirer of corporate and private equity portfolios, has entered into a definitive agreement to acquire a portfolio of businesses within Newell Rubbermaid's Hardware group in the U.S. for USD $214 million. The acquisition includes five home improvement and hardware brands: Amerock, Ashland, Bulldog, Drapery Hardware and Shur-Line.
"We are thrilled to be acquiring this collection of strong brands, which are well-positioned to grow their respective share and performance based on a history of superior product quality, service and innovation, in combination with long term partnerships in retail, OEM and two-step distribution channels. In addition to their strong foundational attributes, these businesses should also benefit from the up-turns in the U.S. housing, home improvement and consumer markets. Our priority is to accelerate the current plans in place to optimize these businesses for future growth through stewardship and appropriate investment," said David Jacobs, Nova Investment Partner. "The acquisition is another example of Nova's unique approach to delivering corporations and private sellers a solution for the sale of multiple non-core assets in a single transaction."
"When we announced our intention to sell the businesses, our goal was to find a strategic acquirer that is committed to investing in our brands and growing the businesses, creating opportunities to expand distribution, manufacturing and sourcing. We believe we have found in Nova a partner with the right depth of operational and financial expertise to help continue building our brands," said Nick Morrisroe, Vice President and General Manager, Hardware for Newell Rubbermaid.
Morrisroe will continue to serve in his role of Vice President and General Manager for the combined businesses. David Jacobs will join the boards of the businesses as Nova's Investment Partner. The transaction is expected to close within the third calendar quarter, subject to customary conditions.
Nova announced the addition of a North American headquarters earlier this year, and has recently added key leadership and staff to its North American team to support the company's accelerating business growth in North America. In September 2012, Nova completed the acquisition of five industrial businesses in the U.S. - all of the operating subsidiaries of Latshaw Enterprises, Inc. - in a single transaction. In August 2011, Nova completed the acquisition of five industrial businesses in Canada.