3M announced that it has agreed to acquire the Scott Safety business from Johnson Controls for a total enterprise value of $2.0 billion. Based in Monroe, North Carolina and with approximately 1,500 employees worldwide Scott Safety provides self-contained breathing apparatus systems, gas and flame detection instruments, and other safety devices to customers including firefighters, industrial workers, police, military, and rescue teams. The business had 2016 revenues of approximately $570 million and EBITDA of $155 million. Based on a stated multiple of 11 times and expected run rate synergies, the business is projected to generate adjusted EBITDA of approximately $180 million for the 12 month period after closing.
The deal is expected to close in the second half of 2017. Citi and Goldman Sachs are the financial advisors to 3M. Centerview Partners is the financial advisor to Johnson Controls. Comments are closed.
|
Categories
All
Archives
July 2017
Deal NewsWe provide you with the latest news on acquisitions in the Defense and Government markets. Make sure to subscribe to our weekly deal updates: |