Dormakaba has agreed to buy portions of the mechanical security division from Stanley Black & Decker (NYSE: SWK) for $725 million. The deal will help the buyer expand its North American reach to cover door components, including manual doors.
Stanley Black & Decker, based in New Britain, Connecticut, is a provider of tools and storage, security, and industrial products. The deal for the target’s mechanical security division includes the Stanley Commercial Hardware business, which employs nearly 1,000 workers, and a production facility in Taiwan. Stanley Commercial Hardware operates with three premiere brands, including the Best brand, and also manufactures a range of mechanical and security products used in cloud-based electronic locks. The deal does not include Sarget and Greenleaf, a provider of safe locks that also forms a part of the seller’s mechanical security business. Stanley Black & Decker recently purchased the tool business from Newell Brands Inc. (NYSE: NEWL) for approximately $1.95 billion in cash to expand in industrial cutting equipment.