Stanley Works continues path into security
January 22 , 2004
NEW BRITAIN, Conn. - Continuing on its path to build a significant presence in the security market, toolmaker Stanley Works said on Tuesday that it would acquire Canadian integrator Frisco Bay Industries for $45.3 million, or $15.25 cash per share.
The acquisition of the St. Laurent, Quebec-based company is Stanley Works' third security-related acquisition, following the company's recent offer for British security systems manufacturer Blick and a 2002 acquisition of Best Access Systems.
Company officials said they expect the Frisco Bay deal to close sometime in the first quarter of this year, adding to Stanley's earnings in the first 12 months. Frisco Bay, which primarily services the financial and government sectors, has annual sales of about $40 million. The company has about 200 employees.
Stanley's offer for Frisco Bay, which will become part of Stanley's security division once the deal has closed, was a 33 percent premium over Frisco Bay's closing stock price of $11.50.