Manitowoc Co. acquires foodservice equipment maker
The Manitowoc Co, Inc has reached terms for its acquisition of Enodis plc for $2.1 billion, including the assumption of net debt approximately $207 million. The transaction has been approved by both companies’ boards of directors. Listed in London and operationally headquartered in Tampa, Fla., Enodis is a global leader in commercial foodservice equipment with a variety of premier brands. Enodis is one of the world’s leading suppliers of foodservice equipment, with products on the "cold" and "hot" sides of the industry. To date, Manitowoc Foodservice’s focus has been on "cold" equipment.
Glen Tellock, president and chief executive officer of Manitowoc, said, "We have long recognized the value that a combination of the foodservice businesses of Enodis and Manitowoc would create. We believe the strategic benefits of the combination are substantial, and we are pleased to have reached an agreement for this transforming acquisition." "We believe the expanded global footprint of the combined businesses creates an outstanding growth platform for Manitowoc Foodservice," said Michael Kachmer, president of Manitowoc Foodservice. "With the world’s largest foodservice companies growing at rates well in excess of the overall industry, we should be well-positioned to partner with our customers in creating modern, efficient kitchens that deliver the dining choices that consumers want."
Modine to sell subsidiary
Modine Manufacturing Co.’s restructuring will continue with a definitive agreement to sell substantially all of the assets of its Thermacore Inc. subsidiary, based in Lancaster, Pa. The company will be sold a new firm company formed by Thermacore’s management team. The transaction is anticipated to close in the first quarter of the company’s 2009 fiscal year. Additional terms of the transaction were not disclosed. "The Thermacore sale marks another step in our commitment to fine-tune our product and business portfolio," said Tom Cromwell, managing director of Modine’s Commercial Products Group. "As part of our ongoing evaluation process and our strategic focus on our core vehicular, HVAC and fuel cell markets, we recognized that the Thermacore business would be better positioned as a standalone company, allowing its management team to focus in the electronics cooling market." Racine-based Modine had acquired Thermacore in 2001 to add end-market diversification to its product line. On May 1, 2007, Modine announced its intention to evaluate its strategic alternatives for the electronics cooling business. Thermacore, which had fiscal 2007 revenues of $32 million, designs, develops and manufactures electronics cooling products for the military, aerospace, medical, server and telecommunications markets. Thermacore has 179 employees and holds 90 active patents. The new company, to be operated under the Thermacore name from locations in Lancaster and Ashington, United Kingdom, is to be owned by management, an employee stock ownership plan and outside investors. Jerome Toth, spokesman for the new company, indicated that the Thermacore business would continue to focus on being a leading global supplier of high performance thermal management solutions. Modine also announced last week it will close its plants in Camdenton, Mo.; Pemberville, Ohio; Logansport, Ind.; and Tubingen, Germany.
