Griffon Enters Joint Venture Deal for AMES Australasia Sale
Griffon (GFF) said Monday it has agreed to sell its AMES Australasia business to a joint venture it is forming with an investment group led by AMES management, backed by Australian financial investors.Under the deal, Griffon will receive $185 million at closing and a $50 million subordinated note in the joint venture, the company said. It will have a 49% equity stake, while the remaining 51% will be owned and controlled by the investor group led by Simon Hupfeld, who will become executive chairman after closing, the company said.The joint venture will be funded through a mix of committed debt financing, partner equity, and Griffon's subordinated note, the company said, adding that the transaction is set to close by its fiscal year ending September.Shares of Griffon were up 1.6% in Monday trading.Price: $86.87, Change: $+1.37, Percent Change: +1.60%
