Fiskars Corporation: Fiskars to divest its North American Watering business to an affiliate of Centre Lane Partners
Fiskars Corporation
Press Release
December 21, 2021 at 08:00 EET
Fiskars to divest its North American Watering business to an affiliate of Centre Lane Partners
Fiskars Corporation has signed an agreement to sell Fiskars' North American Watering business to Lawn & Garden LLC, a holding company owned by affiliates of Centre Lane Partners (CLP), a New York based private investment firm.
The transaction will be structured as an asset sale. The agreement covers intellectual property including the Gilmour and Nelson brands, related trademarks and patents pertaining to watering equipment commercialized in North America. As part of the agreement, the manufacturing plant in Excelsior Springs, Missouri and the warehouse operations in Independence, Missouri, as well as employees working in these two locations, will be included in the transaction. The business subject to the transaction had a net sales of approximately EUR 80 million for the twelve month period ending September 30, 2021.
"The Fiskars Group growth strategy builds on leveraging the strengths of the company. The Gilmour and Nelson brands do not form the core of our portfolio, and the business has not supported the Group profitability. Our watering equipment offering in the Americas differs significantly from the one in Europe, where we continue to grow under the Fiskars brand. Therefore we do not see ourselves as the best owner of Gilmour and Nelson. The U.S. market has a central position in our growth strategy and we believe that the increased focus on our core categories as a result of this transaction enables us to be an even better partner for our customers going forward. I want to thank our team in the North American Watering Business for their dedication and hard work. We are certain that CLP is an excellent owner to nurture and develop the business going forward, and both CLP and Fiskars are committed to ensuring a smooth transition to North American Watering Business customers and other stakeholders" says Nathalie Ahlström, President and CEO of Fiskars Group.
"CLP is pleased to acquire the Fiskars' North American Watering business and its valued Gilmour and Nelson brands. We welcome to our family the experienced management and staff teams at the Excelsior Springs and Independence, MO, sites and look forward to working with them. With CLP's experience in the North American lawn & garden sector we are ideally positioned to support and grow the business through the application of our operational, financial and strategic expertise and are excited at the prospect. We look forward to working with Fiskars over the coming months to ensure all stakeholders in the North American Watering business, including customers, vendors and staff, will experience a seamless transition of Fiskars stewardship to that of CLP and Lawn & Garden, LLC." says Quinn Morgan of Centre Lane Partners.
The transaction is expected to be completed during the first quarter of 2022. The parties have agreed not to disclose the terms of the transaction. The sale is not expected to have a significant impact on Fiskars Corporation's EBIT or financial position in 2022.
FISKARS CORPORATION
Nathalie Ahlström
President and CEO
Media and investor contacts:
Kristian Tammela, Director, Investor Relations, tel. +358 40 708 1181
Sanna Hellstedt, Director, Media and External Communications, tel. +358 50458 4014
Making the everyday extraordinary
Fiskars Group's vision is to create a positive, lasting impact on our quality of life. Our brands Fiskars, Gerber, Iittala, Royal Copenhagen, Waterford, and Wedgwood are present in people's everyday lives - at home, in the garden, and outdoors. This gives us an opportunity to make the everyday extraordinary today, and for future generations. We have a presence in 30 countries, and our products are available in more than 100 countries. Our shares are listed on the Nasdaq Helsinki (FSKRS). Please visit us at www.fiskarsgroup.com for more information and follow us on Twitter @fiskarsgroup.