Clarus Corporation has announced it has entered into an agreement to acquire privately held protective case manufacturer, SKB.
The new deal – worth $85 million in cash and 1,153,846 shares of Clarus common stock – will see SKB operate independently as a “wholly owned subsidiary of Clarus”. According to a statement, the deal will provide SKB with “enhanced scale and resources, as well as access to Clarus’ robust relationships and channels to market”.
Launched in 1977 by Steve Kottman and Dave Sanderson, in Orange County, California, SKB has become an industry leader in the design and manufacture of equipment cases. Its cases have garnered a massive following around the world, including high-profile artists. Last year, SKB reported $53 million in sales and more than $9.5 million of Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA).
Clarus Corporation is a global entity with a portfolio that includes outdoor sports equipment brand Black Diamond and bullet manufacturer Sierra. According to a statement, the new acquisition is poised to “further strengthen Clarus’ leadership in the outdoor and consumer industries”.
“We regularly evaluate potential acquisitions to add to and complement our portfolio, and SKB is a perfect match,” said John Walbrecht, President of Clarus. “We believe that the acquisition of SKB presents a compelling opportunity to extend our brand formula over a broader base and advance our strategy of growing both organically and through accretive, value-enhancing transactions.”
Kottman and Sanderson added: “We are excited to partner with a company that shares our commitment to innovation and has a proven track record of growing successful brands across categories, channels and regions. We know that Clarus will continue SKB’s legacy of crafting products with the superior design and engineering that our customers have come to expect and trust.”
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