The Canada Pension Plan Investment Board (CPPIB) and Onex Corporation have acquired Tomkins, an industrial holding company, for $5.25 per share. The total transaction, including the assumption of debt is just over $5 billion.
Tomkins runs several businesses in automotive and construction markets around the world.
“My entire management team and I are excited to be working with Onex and CPPIB,” said Tomkins CEO Jim Nicol. “This is a pivotal moment in our company’s history and we’re delighted to have partners that support our vision for the business’s future.”
Seth Mersky, an Onex managing director, was especially excited about the acquisition, since one of Tomkins’ businesses, Gates, is a world leader in belts and hoses.
“Gates is one of the most well recognized, trusted and respected brands in the global industrial and automotive sectors,” he said.
“Tomkins is a strong company with a diverse portfolio of number one market share brands and businesses,” said André Bourbonnais, CPPIB’s senior vice-president, private investments.
The acquisition was funded with an equity investment of about $2.2 billion.
