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3M to Acquire Aearo Technologies for $1.2 Billion |
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3M and Aearo Technologies have entered into a definitive agreement for 3M’s acquisition of Aearo for a total purchase price of $1.2 billion, to be financed through a combination of cash and other borrowings. Aearo is a global leader in the personal protection industry and manufactures and markets personal protection and energy absorbing products. The company is owned by funds advised by Permira, a leading global private equity firm, and company management.
Aearo will significantly expand 3M’s occupational health and environmental safety platform by adding hearing protection as well as eyewear and fall protection product lines to 3M’s existing full-line of respiratory products. The acquisition enables 3M to provide industrial, military and construction customers as well as consumers with a more complete personal protection solution.
“Aearo complements and significantly broadens our core safety and personal protection business, a space which is growing fast and [is] of strategic importance to the company,” said George W. Buckley, 3M chairman, president and CEO. “The combination of 3M’s technology, our global reach and well-known safety brand with Aearo’s strong product portfolio and brands positions 3M as the global leader in personal protective equipment products. Our powerful international distribution network will enable us to enhance and leverage this asset going forward.”
Michael McLain, president and CEO, Aearo Technologies Inc., commented “We believe 3M’s solid R&D technology platform and global distribution capabilities will take Aearo’s successful brand to the next level and grow this business to its full potential. Our two companies share a similar culture of innovation and operational excellence, and the Aearo team is excited about working with 3M colleagues around the world.”
Aearo’s sales have increased at a compound annual growth rate of more than 12 percent over the past five years to $508 million, according to 3M and Aearo. The company’s hearing and eye protection brands include E-A-R, Peltor, AOSafety and SafeWaze.
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