Franklin Electric Announces Execution of Definitive Agreement for the Acquisition of Barnes de Colombia
Franklin Electric (NASDAQ: FELE) has signed a definitive agreement to acquire Barnes de Colombia, a leading manufacturer and distributor of industrial and commercial pumps. Barnes de Colombia operates two manufacturing facilities and eight stocking locations in Colombia, with assembly facilities in Mexico, Brazil, and Argentina, and warehouses across Latin America.
The acquisition, expected to close around March 1, 2025, will enhance Franklin Electric's product portfolio and market presence in Latin America. Barnes de Colombia brings approximately 400 team members, manufacturing and foundry capabilities to Franklin Electric's operations. The deal aligns with Franklin's long-term growth and diversification goals, aiming to strengthen supply chain resilience and leverage Barnes' distribution network.
Franklin Electric (NASDAQ: FELE) ha firmato un accordo definitivo per acquisire Barnes de Colombia, un produttore e distributore leader di pompe industriali e commerciali. Barnes de Colombia opera due stabilimenti di produzione e otto sedi di stoccaggio in Colombia, con impianti di assemblaggio in Messico, Brasile e Argentina, e magazzini in tutta l'America Latina.
L'acquisizione, prevista per chiudere intorno al 1° marzo 2025, migliorerà il portafoglio prodotti e la presenza di mercato di Franklin Electric in America Latina. Barnes de Colombia porta circa 400 membri del team, capacità di produzione e fonderia alle operazioni di Franklin Electric. L'accordo si allinea con gli obiettivi di crescita e diversificazione a lungo termine di Franklin, mirando a rafforzare la resilienza della catena di approvvigionamento e a sfruttare la rete di distribuzione di Barnes.
Franklin Electric (NASDAQ: FELE) ha firmado un acuerdo definitivo para adquirir Barnes de Colombia, un fabricante y distribuidor líder de bombas industriales y comerciales. Barnes de Colombia opera dos instalaciones de fabricación y ocho ubicaciones de almacenamiento en Colombia, con instalaciones de ensamblaje en México, Brasil y Argentina, y almacenes en toda América Latina.
Se espera que la adquisición se cierre alrededor del 1 de marzo de 2025, lo que mejorará el portafolio de productos y la presencia de mercado de Franklin Electric en América Latina. Barnes de Colombia aporta aproximadamente 400 miembros al equipo, capacidades de fabricación y fundición a las operaciones de Franklin Electric. El acuerdo se alinea con los objetivos de crecimiento y diversificación a largo plazo de Franklin, buscando fortalecer la resiliencia de la cadena de suministro y aprovechar la red de distribución de Barnes.
프랭클린 일렉트릭 (NASDAQ: FELE)는 산업 및 상업용 펌프의 선도적인 제조업체이자 유통업체인 바네스 데 콜롬비아를 인수하기 위한 확정 계약을 체결했습니다. 바네스 데 콜롬비아는 콜롬비아에 두 개의 제조 시설과 여덟 개의 재고 위치를 운영하며, 멕시코, 브라질, 아르헨티나에 조립 시설과 라틴 아메리카 전역에 창고를 두고 있습니다.
이 인수는 2025년 3월 1일경에 마무리될 것으로 예상되며, 프랭클린 일렉트릭의 제품 포트폴리오와 라틴 아메리카 시장에서의 존재감을 강화할 것입니다. 바네스 데 콜롬비아는 약 400명의 팀원을 프랭클린 일렉트릭의 운영에 추가하며, 제조 및 주조 능력을 제공합니다. 이 거래는 프랭클린의 장기 성장 및 다각화 목표에 부합하며, 공급망의 회복력을 강화하고 바네스의 유통 네트워크를 활용하려는 목표를 가지고 있습니다.
Franklin Electric (NASDAQ: FELE) a signé un accord définitif pour acquérir Barnes de Colombia, un fabricant et distributeur leader de pompes industrielles et commerciales. Barnes de Colombia exploite deux usines de fabrication et huit sites de stockage en Colombie, avec des installations d'assemblage au Mexique, au Brésil et en Argentine, et des entrepôts à travers l'Amérique latine.
L'acquisition, qui devrait être finalisée autour du 1er mars 2025, améliorera le portefeuille de produits et la présence sur le marché de Franklin Electric en Amérique latine. Barnes de Colombia apporte environ 400 membres d'équipe, des capacités de fabrication et de fonderie aux opérations de Franklin Electric. L'accord s'inscrit dans les objectifs de croissance et de diversification à long terme de Franklin, visant à renforcer la résilience de la chaîne d'approvisionnement et à tirer parti du réseau de distribution de Barnes.
Franklin Electric (NASDAQ: FELE) hat einen endgültigen Vertrag zur Übernahme von Barnes de Colombia unterzeichnet, einem führenden Hersteller und Distributor von industriellen und kommerziellen Pumpen. Barnes de Colombia betreibt zwei Produktionsstätten und acht Lagerstandorte in Kolumbien, mit Montageeinrichtungen in Mexiko, Brasilien und Argentinien sowie Lagerräumen in ganz Lateinamerika.
Der Abschluss der Übernahme wird für den 1. März 2025 erwartet und wird das Produktportfolio sowie die Marktpräsenz von Franklin Electric in Lateinamerika verbessern. Barnes de Colombia bringt etwa 400 Teammitglieder und Fertigungs- sowie Gießfähigkeiten in die Betriebe von Franklin Electric ein. Der Deal steht im Einklang mit den langfristigen Wachstums- und Diversifizierungszielen von Franklin, mit dem Ziel, die Widerstandsfähigkeit der Lieferkette zu stärken und das Vertriebsnetz von Barnes zu nutzen.
- Strategic expansion into high-growth Latin American markets
- Addition of 400 skilled employees and manufacturing capabilities
- Access to established distribution network across multiple Latin American countries
- Enhanced product portfolio diversification
- Improved supply chain resilience through additional manufacturing facilities
- Pending regulatory approval from Colombian antitrust authorities
- Integration risks with existing operations
Insights
This strategic acquisition marks a significant expansion of Franklin Electric's Latin American footprint, providing multiple competitive advantages. The integration of Barnes de Colombia's two manufacturing facilities and eight stocking locations creates an extensive operational network that will enhance FELE's supply chain resilience and market responsiveness across the region.
The strategic value proposition is multifaceted:
- Barnes' established presence in key markets like Colombia, Mexico, Brazil, and Argentina provides immediate market access and customer relationships that would take years to develop organically
- The acquisition of foundry capabilities and manufacturing expertise strengthens FELE's vertical integration, potentially reducing production costs and improving quality control
- The expanded distribution network, including warehouses in Guatemala, Panama, Ecuador, Peru, and Chile, creates a robust platform for accelerated market penetration and improved customer service
The timing of this acquisition is particularly strategic as Latin American markets show increasing demand for water and fluid management solutions. Barnes' approximately 400 team members bring valuable technical expertise and market knowledge, which will be important for successful integration and growth acceleration.
The deal structure, requiring Colombian antitrust clearance, suggests minimal regulatory risk given the complementary nature of the businesses. The expected closing date of March 1, 2025, indicates confidence in swift regulatory approval and integration planning readiness.
Strategic Acquisition to Enhance Growth in Latin America
FORT WAYNE, Ind., Feb. 14, 2025 (GLOBE NEWSWIRE) -- Franklin Electric Co., Inc. (NASDAQ: FELE) Fort Wayne, Indiana, USA-based Franklin has signed a definitive agreement to acquire Barnes de Colombia S.A., a leading manufacturer and distributor of industrial and commercial pumps based in Cota, Cundinamarca, Colombia. This acquisition aligns with Franklin Electric's long-term growth and diversification goals, providing significant opportunities for expansion in Latin America.
Barnes de Colombia, also operating under the WDM brand in certain countries including the US, is headquartered near Bogotá, Colombia. It has two manufacturing facilities and over eight stocking locations in Colombia, as well as assembly facilities in Mexico, Brazil, and Argentina, and local warehouses in Guatemala, Panama, Ecuador, Peru, and Chile.
The acquisition enhances Franklin Electric's product portfolio and market presence in key Latin American regions. Barnes de Colombia's strong market position in Colombia and established operations in Mexico, Argentina, Brazil, and other Latin American countries is expected to help accelerate Franklin´s growth in the region. This acquisition supports Franklin Electric's strategic goals of diversifying its product line and enhancing supply chain resilience while leveraging Barnes de Colombia's robust distribution network and customer relationships.
"We are thrilled to welcome Barnes de Colombia to the Franklin Electric family," said Joe Ruzynski, CEO of Franklin Electric. "This acquisition not only strengthens our presence in the high-growth Latin American markets but also enhances our ability to serve our customers with an expanded portfolio of innovative and high-quality products. Barnes’ approximately 400 team members and manufacturing and foundry capabilities will enhance our operating footprint materially and we are excited for these new team members and operations to contribute meaningfully to our growth and success. Together, we will continue to rely on our Key Factors for Success - quality, availability, service, innovation and cost - to deliver outstanding value to our customers."
The acquisition is subject to customary closing conditions, including Colombian antitrust clearance. Franklin Electric expects the acquisition to close on or about March 1, 2025.
Seale & Associates provided investment banking services to Barnes de Colombia and its owners in connection with the acquisition. Garrigues (Colombia and Mexico) provided legal counsel to Franklin Electric, and Brigard Urrutia provided legal counsel to Barnes de Colombia.
About Franklin Electric
Franklin Electric is a global leader in the production and marketing of systems and components for the movement of water and energy. Recognized as a technical leader in its products and services, Franklin Electric serves customers worldwide in residential, commercial, agricultural, industrial, municipal, and fueling applications. Franklin Electric is proud to be recognized in Newsweek’s lists of America’s Most Responsible Companies 2024, Most Trustworthy Companies 2024, and Greenest Companies 2025; Best Places to Work in Indiana 2024; and America’s Climate Leaders 2024 by USA Today.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein, including those relating to market conditions or the Company’s financial results, costs, expenses or expense reductions, profit margins, inventory levels, foreign currency translation rates, liquidity expectations, business goals and sales growth, involve risks and uncertainties, including but not limited to, risks and uncertainties with respect to general economic and currency conditions, various conditions specific to the Company’s business and industry, weather conditions, new housing starts, market demand, competitive factors, changes in distribution channels, supply constraints, effect of price increases, raw material costs, technology factors, integration of acquisitions, litigation, government and regulatory actions, the Company’s accounting policies, future trends, epidemics and pandemics, and other risks which are detailed in the Company’s Securities and Exchange Commission filings, included in Item 1A of Part I of the Company’s Annual Report on Form 10-K for the fiscal year ending December 31, 2023, Exhibit 99.1 attached thereto and in Item 1A of Part II of the Company’s Quarterly Reports on Form 10-Q. These risks and uncertainties may cause actual results to differ materially from those indicated by the forward-looking statements. All forward-looking statements made herein are based on information currently available, and the Company assumes no obligation to update any forward-looking statements.
Contact:
Jeff Taylor
Franklin Electric Co., Inc.
260.824.2900
FAQ
When is Franklin Electric (FELE) expected to close the Barnes de Colombia acquisition?
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