Stanley Black & Decker (Announced It Has Entered Into A Definitive Agreement To Sell STANLEY Infrastructure To Epiroc AB For $760M In Cash
Portfolio Pulse from Benzinga Newsdesk
Stanley Black & Decker has agreed to sell its STANLEY Infrastructure division to Epiroc AB for $760 million in cash. The Infrastructure division is projected to generate $450 to $470 million in revenue with a mid-to-high teens adjusted EBITDA margin in FY2023. The proceeds from the sale, after taxes, will be used by Stanley Black & Decker to reduce its debt.
December 15, 2023 | 1:02 pm
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Stanley Black & Decker's sale of its Infrastructure division to Epiroc AB for $760M will provide cash to reduce debt and streamline operations.
The sale of a significant division is likely to be viewed positively by investors as it provides liquidity and helps reduce debt. The projected revenue and EBITDA margins indicate that the division is profitable, which could make the sale a strategic move to focus on core operations. This could lead to a short-term positive impact on SWK's stock price.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 90