Dover Announces The Sale Of Unified Brands

Rhea-AI Summary

Dover (NYSE: DOV) has announced a definitive agreement to sell its Unified Brands business to Electrolux Professional AB for approximately $244 million, on a cash-free and debt-free basis. Unified Brands, expected to generate $135 million in sales for 2021, specializes in professional cooking equipment for commercial food service operators. The transaction aims to allow Dover to focus on its core businesses, while Unified Brands will benefit from Electrolux's specialized market focus. The deal is expected to close in the fourth quarter of 2021.

Positive

• Sale of Unified Brands for approximately $244 million enhances cash position.
• Focus on core business platforms may lead to improved operational efficiency.

Negative

• Loss of a revenue-generating segment, with Unified Brands expected to generate $135 million in sales.

DOWNERS GROVE, Ill., Oct. 11, 2021 /PRNewswire/ -- Dover (NYSE: DOV) today announced that it has entered into a definitive agreement to sell its Unified Brands business ("Unified Brands"), which is part of Dover's Refrigeration & Food Equipment segment, to Electrolux Professional AB (STO: EPRO B) for approximately $244 million, on a cash free and debt free basis, subject to customary post-closing adjustments. Unified Brands designs, manufactures and markets professional cooking equipment for commercial food service operators and is expected to generate approximately $135 million in sales in 2021.

Commenting on the transaction, Dover's President and Chief Executive Officer, Richard J. Tobin, said, "Unified Brands has been a part of the Dover family for over fifty years. As we look to the future, we believe that this transaction is a good outcome for both Dover and Unified Brands. It will allow Dover to concentrate our time and capital on growing our core business platforms, while Unified Brands will benefit from Electrolux Professional's focus on the commercial foodservice market and its complementary customer base, product lines and channel partners."

The transaction is expected to close in the fourth quarter of 2021, subject to customary closing conditions.

About Dover:

Dover is a diversified global manufacturer and solutions provider with annual revenue of approximately $7 billion. We deliver innovative equipment and components, consumable supplies, aftermarket parts, software and digital solutions, and support services through five operating segments: Engineered Products, Fueling Solutions, Imaging & Identification, Pumps & Process Solutions and Refrigeration & Food Equipment. Dover combines global scale with operational agility to lead the markets we serve. Recognized for our entrepreneurial approach for over 65 years, our team of over 24,000 employees takes an ownership mindset, collaborating with customers to redefine what's possible. Headquartered in Downers Grove, Illinois, Dover trades on the New York Stock Exchange under "DOV." Additional information is available at dovercorporation.com.

Forward Looking Statements:

This press release contains "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including statements regarding the closing and anticipated effects of the transaction. All statements in this document other than statements of historical fact are statements that are, or could be deemed, "forward-looking" statements. Forward-looking statements are subject to numerous important risks, uncertainties, assumptions and other factors, some of which are beyond the Company's control. Factors that could cause actual results to differ materially from current expectations include, among other things, the impacts of COVID-19, or other future pandemics, on the global economy and on our customers, suppliers, employees, business and cash flows, other general economic conditions and conditions in the particular markets in which we operate, changes in customer demand and capital spending, competitive factors and pricing pressures, our ability to develop and launch new products in a cost-effective manner, and our ability to realize synergies from newly acquired businesses. For details on the risks and uncertainties that could cause our results to differ materially from the forward-looking statements that may be contained herein, we refer you to the documents we file with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2020, and any subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. These documents are available from the SEC, and on our website, www.dovercorporation.com. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise.

Investor Contact:	Media Contact:
Andrey Galiuk	Adrian Sakowicz
Vice President – Corporate Development	Vice President – Communications
and Investor Relations	(630) 743-5039
(630) 743-5131	asakowicz@dovercorp.com
agaliuk@dovercorp.com

 

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SOURCE Dover

FAQ

What is the significance of Dover selling Unified Brands?

Dover's sale of Unified Brands allows the company to concentrate on its core business operations, potentially enhancing overall performance.

How much did Dover sell Unified Brands for?

Dover sold Unified Brands for approximately $244 million, on a cash-free and debt-free basis.

What financial impact will the sale of Unified Brands have on Dover?

The sale will provide Dover with additional cash while impacting its revenue as Unified Brands was projected to generate $135 million in sales for 2021.

When is the sale of Unified Brands expected to close?

The transaction is expected to close in the fourth quarter of 2021, pending customary closing conditions.