Menomonee Falls-based Actuant Corp. announced it has reached a definitive agreement to sell its Electrical Segment to Sentinel Capital Partners for $258 million in cash, subject to working capital and other closing adjustments.
The transaction is expected to be completed within 45 days, subject to customary closing conditions.
In June, Actuant announced that its board of directors had authorized a plan to commence a divestiture process for the Electrical Segment in order to refocus on the remaining businesses and better position the company to take advantage of its core competencies, current business model and global growth trends.
Since that announcement, the Electrical Segment’s results have not been included in Actuant’s continuing operations and therefore, the pending sale transaction has no impact on Actuant’s sales and earnings guidance for fiscal 2014.
The Electrical Segment primarily serves the retail do-it-yourself, marine, industrial OEM and wholesale electrical markets with a variety of products under the Gardner Bender, Marinco, Mastervolt, Acme and Turner Electric brand names. In fiscal 2013, it had sales of approximately $300 million. The segment employs approximately 1,000 and operates from six locations across the globe.
Robert W. Baird & Co. Inc. served as Actuant’s financial advisor for the transaction, and McDermott, Will and Emery, LLP served as legal counsel.
Actuant is a diversified industrial company serving customers from operations in more than 30 countries.