ST. LOUIS -- Emerson announced it has entered into an agreement to sell its ClosetMaid business to Griffon Corp., a New York-based diversified management and holding company, for $260 million.
“The sale of ClosetMaid represents the final step in the strategic portfolio repositioning we began two years ago,” said Emerson chairman and chief executive officer David N. Farr. “With Griffon, we have found a good home for ClosetMaid. We believe the combination of ClosetMaid with Griffon results in the best fit for ClosetMaid’s customers and employees and will create maximum value for Emerson’s shareholders.”
Currently part of Emerson’s Commercial & Residential Solutions business, ClosetMaid is based in Ocala, Florida, and employs approximately 1,500 people in its home organization and storage system business.
The transaction is expected to close within 30 days and result in minimal net earnings and earnings per share impact. Emerson expects to realize approximately $180 million in after-tax cash proceeds from the sale. For more information, see www.closetmaid.com.