Acquisition Strengthens TTI's Market Presence in Floor-care Industry
Enhances TTI's Brand Portfolio
Expands Product Distribution And Diversifies Customer Base
HONG KONG, Dec. 7 /Xinhua-PRNewswire/ -- Techtronic Industries Co. Ltd.
(TTI) (stock code: 669, ADR symbol: TTNDY) today announced that it entered
into a purchase agreement to acquire the Hoover floor care business from
Whirlpool Corporation.
The total consideration for the purchase consists of the payment of
US$107 million in cash and certain assumed obligations. The transaction,
which is subject to regulatory and antitrust clearance and customary closing
condition, is expected to close by the third quarter of 2007, but could
close as early as the first quarter of 2007.
Hoover offers a comprehensive line of products for general and special-
purpose vacuuming and carpet washing, including full-size uprights and
canisters, deep cleaners, and hard-floor cleaners.
"The addition of Hoover to our existing Royal Appliance and Vax floor
care businesses will strengthen our market presence globally, by
diversifying our customer base, expanding our product offering, and adding
scale to our operations," said Mr. Horst J. Pudwill, Chairman and CEO of
TTI. "With almost 100 years of quality and innovation, the Hoover name is
synonymous with high quality floor care products and is one of the most
recognized brands in the world. We are pleased to be able to add it to our
worldwide portfolio of leading brands".
Mr. Pudwill continued, "To achieve our vision to be number one in all of
the markets in which we operate, we are focused on continually expanding our
distribution network, delivering product innovation, driving supply-chain
efficiencies, and building end-user dedication to our brands. With the
acquisition of Hoover, we gain more than a powerful brand, as they have an
innovative product portfolio and access to new customers through their
unique position in the market."
"TTI is looking forward to welcoming Hoover and all of its employees to
our floor care team. We are excited about building on Hoover's successful
track-record of product innovation and customer loyalty," said Mr. Joseph
Galli, Jr., CEO of TTA Holdings, TTI's global floor care and appliances
business. "With the addition of the Hoover(R) to our existing brands
including Royal(R), Dirt Devil(R), Regina(R) and Vax(R), we will offer a
broader and more focused product selection to end-users and retailers across
the globe and expand our capabilities in R&D for accelerated product
innovations."
About TTI
Founded in 1985, TTI is a world-class supplier of superior home
improvement and construction tools with a powerful portfolio of trusted
brands and a strong commitment to innovation and quality. The portfolio that
TTI offers includes a full line of power equipment products, floor care
appliances, laser and electronic products. Our brands include Milwaukee(R),
AEG(R) and Ryobi(R) power tools and accessories, Ryobi(R) and Homelite(R)
outdoor power equipment and Royal(R), Dirt Devil(R), Regina(R) and Vax(R)
floor care appliances.
TTI is one of the constituent stocks on the Hang Seng HK MidCap Index
under the Hang Seng Composite Index, the MSCI Hong Kong Index, the FTSE All-
World Hong Kong Index, the FTSE/Hang Seng Asian Cyclical Index and the Dow
Jones Hong Kong Titans 30. For more information, please visit
www.ttigroup.com.
Trademarks
The use of the trademark Ryobi(R) is pursuant to a license granted by
Ryobi Limited.
About Whirlpool Corporation
Whirlpool Corporation is the world's leading manufacturer and marketer
of major home appliances, with annual sales of more than US$19 billion, more
than 80,000 employees, and more than 60 manufacturing and technology
research centers around the world. The company markets Whirlpool, Maytag,
KitchenAid, Jenn-Air, Amana, Brastemp, Bauknecht and other major brand names
to consumers in nearly every country around the world. Additional
information about the company can be found at www.whirlpoolcorp.com.
Contact:
Yammie Tang
Email: ir@tti.com.hk
