(RTTNews) - Griffon Corp. (GFF) Monday revealed a definitive agreement to sell its AMES Australasia business to an investment group led by the management of AMES Australasia with support from Australian financial investors. The sale will be through a joint venture formed by Griffon and AMES.
Griffon will receive $185 million at closing and $50 million in a subordinated note in the joint venture. Griffon will hold a 49% equity interest in the JV and the remaining 51% ownership will be held by an investment group led and controlled by Simon Hupfeld, who upon closing will become the Executive Chairman of the business.
The joint venture is expected to accelerate the growth of the business while continuing to benefit from partnership.
The joint venture will be financed through committed debt financing, equity from the joint venture partners, and the Griffon subordinated note. This transaction is expected to be completed by Griffon's fiscal year ending in September 2026.
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