MINNEAPOLIS — Graco Inc. closed on its $650 million acquisition of Illinois Tool Works'  finishing businesses of Binks, DeVilbiss, Ransberg, BGK and Gema. The deal is effective April 2.

According to Graco, approximately one-third of the $650 million purchase price will be allocated to the powder coating side of the business. Gema's powder finishing business will be immediately consolidated into Graco's Industrial Segment and Gema will continue to operate as a separate business unit, with no change for customers. 

Graco said it is still awaiting determination on the liquid finishing businesses by the U.S. Federal Trade Commission, which were held separate under a March 27  order by the FTC. These include: Binks spray finishing equipment, DeVilbiss spray guns and accessories, Ransburg electrostatic equipment and accessories and BGK curing technology. In the meantime, although wholly-owned by Graco, the businesses are being kept separate and "run independently by existing management under the supervision of a trustee who reports directly to the FTC."

According to the release, "the FTC will issue a final decision and order that will identify the products, businesses and/or assets that Graco will be required to divest. Such divestiture must be completed in the 180 days following the issuance of the final decision and order and may include up to all of the Liquid Finishing businesses.

Announcement of the proposed acquisition was made in April 2011.

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