CLARCOR Acquires Assets of TDC Filter
By Business Wire News
CLARCOR Inc. (NYSE: CLC) today announced that a subsidiary of its CLARCOR Industrial Air division has acquired the operational and intangible assets of TDC Filter Manufacturing, Inc. (“TDC”), a leading U.S. manufacturer and supplier of pleated filter bags, dust collection cartridges and gas turbine air filters, for a purchase price of approximately $11 million. TDC had approximately $17 million of revenue in 2015. Under the terms of the transaction, CLARCOR Industrial Air will assume open purchase orders from TDC and move TDC’s operational assets into CLARCOR Industrial Air’s facilities in Slater, Missouri, and will not acquire any real property or assume any employee-related liabilities. The transaction is not anticipated to be materially accretive or dilutive to CLARCOR’s 2016 earnings.
Christopher L. Conway, CLARCOR’s Chairman, President and Chief Executive Officer commented, “The TDC product line is widely recognized and respected in the industrial air filtration space, particularly with OEM customers, and will be a strong complement to our existing BHA business. This, in combination with the operational synergies we expect to achieve as we increase volumes through our Slater facility, makes the acquisition an attractive one for CLARCOR Industrial Air and for CLARCOR.”
Keith White, the President of CLARCOR Industrial Air, agreed, stating, “We are excited about this acquisition, as it expands distribution channels in our target markets, aligns with our BHA aftermarket filter business, and builds on both our manufacturing strength and great technology.”
CLARCOR is based in Franklin, Tennessee, and is a diversified marketer and manufacturer of mobile, industrial and environmental filtration products. Common shares of CLARCOR are traded on the New York Stock Exchange under the symbol CLC. Further information on CLARCOR can be found at www.clarcor.com.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements made in this press release other than statements of historical fact, are forward-looking statements. These forward-looking statements may include, among other things: statements and assumptions relating to the anticipated impact of the transaction on the Company’s 2016 earnings and existing BHA business; statements relating to the Company’s business and growth strategies; and any other statements or assumptions that are not historical facts.The Company believes that its expectations are based on reasonable assumptions. However, these forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause the Company’s actual results, performance or achievements, or industry results, to differ materially from the Company’s expectations of future results, performance or achievements expressed or implied by these forward-looking statements. These risks include, but are not limited to, the failure to realize the economic and strategic benefits of the transaction, the failure to retain the acquired business’ customer base, and the risks of not being able to integrate the acquired business with our own, achieve desired operational synergies or to maintain or improve the acquired business’ performance. In addition, the Company’s and TDC’s past results of operations do not necessarily indicate their respective future results. The Company’s future results may differ materially from the Company’s past results as a result of various risks and uncertainties, including the risk factors discussed in the “Risk Factors” section of the Company’s 2015 Form 10-K and other risk factors detailed from time to time in the Company’s filings with the Securities and Exchange Commission. You should not place undue reliance on any forward-looking statements. These statements speak only as of the date of this press release. Except as otherwise required by applicable laws, the Company undertakes no obligation to publicly update or revise any forward-looking statements or the risk factors described in this press release, whether as a result of new information, future events, changed circumstances or any other reason after the date of this press release.
David J. Fallon, 615-771-3100
Vice President – Chief Financial Officer