Briggs & Stratton buys Ferris Industries parent

CNY Business Journal (1996+), Jun 11, 2004

MUNNSVILLE - Briggs & Stratton Power Products Group, LLC has signed a definitive agreement to acquire Simplicity Manufacturing, Inc. of Port Washington, Wis. for a total consideration of $227.5 million in cash.

Simplicity owns Ferris Industries, which employs 300 in Munnsville. Simplicity Manufacturing designs and markets a broad range of outdoor power equipment used in both consumer and commercial lawn and garden applications. Simplicity's products are distributed through independent dealers under the brand names Simplicity Snapper, Ferris, and Giant-Vac.

Simplicity Manufacturing had net sales of S285 million for the 10 months ended April 30 and anticipates net sales of approximately $350 million for the 12 months ending June 30. Briggs & Stratton expects that the acquisition will be accretive to diluted earnings by 35 cents to 45 cents per share in fiscal 2005, based on preliminary purchase-price allocations.

Completion of the transaction is subject to conditions customarily associated with a transaction of this type. The transaction is targeted for closing at the beginning of Briggs & Stratton's fiscal 2005 first quarter, at which time Simplicity Manufacturing will become part of the Briggs & Stratton Power Products Group.

Simplicity Manufacturing is Briggs & Stratton's second acquisition in three years that has focused on engine-powered products. Simplicity employs 1,200. Briggs & Stratton Corporation is the world's largest producer of air-cooled gasoline engines for outdoor power equipment. The company designs, manufactures, markets, and services these products for original-equipment manufacturers worldwide. Briggs & Stratton employs more than 7,000 people and is projecting fiscal 2004 sales of approximately $1.9 billion.