1979 & 1989 FIN – Emhart, VSI & Black & Decker

February 10

00:00 2010

Share it With Friends

FASTENER HISTORY

1979 FIN ? Emhart Agrees to Acquire VSI

October 30, 1979 FIN – Emhart Corp. and VSI Corp. signed a definitive agreement for Emhart to acquire VSI for $244 million, based on a price of $40 for each of VSI’s approximately 6.1 million shares outstanding.

Pasadena, Calif.-based VSI, which had sales of $85.7 million for the third quarter of this year (up from $67.3 million for the same period a year earlier) makes precision metal parts and aerospace fasteners.

Farmington, Conn.-based Emhart, which had sales of $395.4 million in the third quarter (up from $314.2 million in the third quarter of 1978) makes a variety of products – including packaging machinery, hardware, chemicals, sporting goods and fasteners.

Emhart’s Shelton, Conn.-based USM Corp. is the owner of such names as “Pop” and “Moly” in the fastener field. USM’s Fastener Group has U.S. facilities in Shelton, Conn.; Mt. Clemans, Mich.; the Parker Kalon division in Campbellsville, Ky.; Hopkinsville, Ky.; Temple, Pa.; and Seabrook, N.H.

Outside the U.S. there are facilities in Canada, Brazil, France, Spain, Sweden, Germany, Venezuela, Australia, Mexico, Japan, Austria and Mexico.

A few years back USM also owned the W.W. Cross Co. of Jaffrey, N.H. – which makes nails and tacks – and J.C. Rhodes, New Bedford, Mass. – which makes fasteners, eyelets and nails, but these are now part of PCI Group, Inc., as the result of an anti-trust action against USM. ©1979/2010 Fastener Industry News

July 26, 1989 FIN – Black & Decker finalized the $2.8 billion acquisition of Emhart Corp.

Emhart is in the process of closing its Farmington, Connecticut office and has relocated its top management to Black & Decker’s Towson, Maryland, headquarters.

Black & Decker has traditionally supplied hardware and distributor markets and there is some speculation it may look for a buyer for Emhart’s OEM businesses – including Helicoil and Gripco.

June 1, 1989 FIN – Black & Decker has acquired about 95% of Emhart Corp’s outstanding shares and is in the final stages of completing the acquisition for $40 per share, or about $2.8 billion.

The merger will be finalized in July, but the two companies have already taken some measures to reorganize – including relocating of future Emhart executives to Black & Decker’s Towson, Maryland, corporate headquarters.

Under the reorganization Peter Scott, Emhart’s chairman and president, has been named chairman of the board at Black & Decker. Nolan D. Archibald will continue as president and CEO of Black & Decker, but relinquished the chairman title to Scott.
Achim Knust, Emhart’s executive vice president and CFO will hold the same positions at Black & Decker. George M. Sherman, a Black & Decker executive, will be corporate executive vice president and president of the Power Tools & Home Improvement Group.

Richard Campbell, executive vice president for Emhart’s consumer sector, will be group vice president of Black & Decker and president of the Hardware & Home Improvements sector.

Raymond A. DeVita, in charge of Emhart’s industrial sector, will be executive vice president of Black & Decker and president of its new Commercial & Industrial Group.

After management reorganization at Emhart in late 1983, DeVita was given responsibility for Emhart’s fastener operations (Molly, POP, Gripco, Warren, Helicoil and Parker-Kalon.

DeVita told FIN that the merger has not affected fastener operations ad should not in the near future.

July 10, 1989 FIN – Emhart has begun closing down its Farmington, Connecticut, corporate headquarters.

On June 30 the first layoffs took place among the approximately 230 member corporate staff when 90 executives were terminated. Another 40 executives will be leaving at the end of this month and the rest gone by late this year.

The corporate office is up for sale.

About 35 of Emhart’s corporate staff are moving to Black & Decker’s Towson, MD headquarters.

Global Fastener News