Nova Capital has entered into an agreement to acquire a portfolio of businesses from Newell Rubbermaid’s Hardware group for $214 million. The acquisition includes five home improvement and hardware brands including Amerock, Ashland, Bulldog, Drapery Hardware and Shur-Line. The transaction is expected to close in the third quarter.
“This 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”, said David Jacobs, Nova Investment Partner.
Amerock produces decorative cabinet hardware, such as knobs, latches and pulls and is based in Atlanta (www.amerock.com); Ashland produces window and door hardware and is based in Huntersville, NC (www.ashlandhardware.com); Bulldog, also based in Huntersville, produces picture-hanging accessories, anchors and specialty fasteners (www.bulldoghardware.com); Shur-Line, also based in Huntersville, produces paint application and paint-related products (www.shur-line.com).
“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,” said Mr. Jacobs. “In addition to their strong foundational attributes, these businesses should also benefit from the up-turns in the US housing, home improvement and consumer markets.”
“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.
Mr. 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. In January 2013, Nova Capital opened its North American headquarters in Chicago and hired David Jacobs to support the company’s business growth in North America.
Established in 2002, and with a 20+ strong team, Nova Capital Management has acquired or taken over the management of portfolios representing a total transactional value of some $1.8 billion. The firm currently manages investments in 29 businesses primarily operating in Western Europe and North America, across a range of sectors. Nova has offices in London, Chicago and Toronto (www.nova-cap.com).
© 2013 PEPD • Private Equity’s Leading News Magazine • 8-12-13
