KKR & Co to buy Crosby Group and Acco Material from Melrose for $1 bn
10 October 2013
US private equity firm KKR & Co yesterday said it would buy lifting equipment company Crosby Group and specialty material handling equipment maker Acco Material Handling Solutions from Melrose Industries Plc for about $1 billion.
With roots dating back to 1885, Crosby is a global provider of highly engineered solutions for lifting and rigging applications across the oil and gas, construction, mining and industrial sectors.
The Tulsa, Oklahoma-based company has over 1,300 employees globally and is known for its iconic brands, including Crosby, McKissick, National and Lebus.
Headquartered in York, Pennsylvania, Acco Material has 130 employees and provides custom-built specialty material handling equipment, including a full line of hoists, industrial cranes, monorails, carts and trailers that are sold under the well-recognized Louden, Wright and Nutting brands.
Pete Stavros, a member of KKR and head of the industrials investing team, said, "Crosby and Acco have long and distinguished histories of providing distributors and end customers with the highest quality products and customer support to meet their lifting and rigging needs."
The transaction is expected to close in the fourth quarter of 2013 subject to customary regulatory approvals.
London-listed Melrose acquires and turns around underperforming engineering companies before selling them for a profit.
The sale comes after Melrose this year sold Italian electric motor and generator manufacturer Marelli Motori to Carlyle Group for $281 million and its Truth Hardware unit to Tyman Plc for $200 million.