The Stanley Works has announced that it has entered into an agreement to purchase National Manufacturing Co. d/b/a National Hardware for $170 million.
National Hardware's annual revenues of $200 million will be combined with Stanley's heritage builders' hardware business (annual revenues $100 million). The transaction is expected to diversify Stanley's hardware customer base, which has been "highly concentrated."
Stanley's offer is for 100% of the shares of National Manufacturing Corporation and is payable in cash. Both companies' boards of directors have approved the transaction, which remains subject to approval by two-thirds of National's shareowners, regulatory approvals, and other customary conditions. The deal is expected to close by year-end 2005 or shortly thereafter.