Stanley Black & Decker has completed the acquisition of two companies in the growing outdoor power equipment industry, including purchasing the remaining 80% ownership stake in MTD Holdings Inc and the acquisition of Excel Industries.
These transactions complement Stanley Black & Decker's position as the fastest growing provider of cordless electric outdoor power equipment with strong brands such as DEWALT, CRAFTSMAN and BLACK+DECKER.
The purchase price for the two transactions totaled $1.9 billion inclusive of standard purchase price adjustments.
MTD is known for award-winning lawn mowers, snow blowers, trimmers and outdoor power equipment for both residential and commercial markets. The company was founded in 1932 and is headquartered in Valley City, Ohio. The MTD family of brands includes Cub Cadet, Troy-Bilt, Robomow, Rover, and WOLF-Garten. MTD operates manufacturing facilities in North America and Europe and a global distribution network.
Founded and based in Hesston, Kan., Excel is a designer and manufacturer of commercial and residential turf equipment under the brands of Hustler Turf Equipment (Hustler) and BigDog Mower Co. (BigDog). In 1964, Excel introduced The Hustler, creating an entirely new product category now known as the zero-turn mower. Excel serves 1,400 active independent equipment dealer outlets that stock, sell and service Hustler and BigDog products in the U.S. and Canada.
"The combination of these two high-quality, complementary businesses with our existing outdoor business creates a powerful growth engine with approximately $4 billion in annual revenue across the $25 billion-plus outdoor power equipment industry," says Stanley Black & Decker's CEO, James M. Loree. "These transactions will be accretive to our 2022 earnings and have the potential of further margin expansion as we integrate these great businesses. Combined, this is a platform well positioned for growth and to lead the electrification of outdoor products with a strong portfolio of iconic brands, industry-leading innovation and extensive engineering and manufacturing capabilities. In addition, the acquisitions add deep customer relationships in retail and more than 2,500 independent equipment dealer outlets serving the professional category. We welcome the 8,100 associates from MTD and Excel to Stanley Black & Decker and look forward to a seamless integration process."
