Lincoln Electric Completes Acquisition of Air Liquide Welding
July 31 2017 - 4:10PM
Lincoln Electric Holdings, Inc. (the “Company”) (NASDAQ:LECO) is
pleased to announce that it has completed the previously announced
transaction to acquire Air Liquide Welding, a subsidiary of Air
Liquide. Under the terms of the agreement, the purchase price was
€115 million (approximately USD$134 million), including the
assumption of certain debt obligations. The Company funded the
transaction with available cash on hand.
The acquisition is immediately accretive to Lincoln Electric
earnings, excluding transaction costs, at approximately $0.03 of
earnings per diluted common share (EPS) per quarter, or $0.12
annually, in the first year after the acquisition, and
approximately $0.06 EPS per quarter, or $0.24 annually, in the
second year of operation.
“We are excited to welcome Air Liquide Welding into the Lincoln
Electric family and complete a transaction that provides compelling
value for customers, employees and shareholders,” stated
Christopher L. Mapes, Chairman, President and Chief Executive
Officer. “The transaction brings together two talented teams who
share the same commitment to welding and cutting innovation and
offers customers the industry’s most comprehensive portfolio of
solutions, technologies and application expertise.” Mapes
continued, “I am confident that as we integrate the organizations,
we will benefit from enhanced technical capabilities, operational
efficiencies and scale, which will further advance our ‘2020 Vision
and Strategy’ goals to improve profitability and
returns.”
About Lincoln Electric
Lincoln Electric is the world leader in the design, development
and manufacture of arc welding solutions, robotic welding and
cutting systems, plasma and oxy fuel cutting, and is a leading
provider of brazing and soldering alloys. Headquartered in
Cleveland, Ohio, USA, Lincoln Electric has 63 manufacturing
locations, including operations and joint ventures in 23 countries,
and a worldwide network of distributors and sales offices reaching
over 160 countries. For more information about Lincoln Electric and
its products and services, visit the Company’s website at
www.lincolnelectric.com.
Forward-Looking Statements
The Company’s expectations and beliefs concerning the future
contained in this news release are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. These statements reflect management’s current
expectations and involve a number of risks and uncertainties that
could cause actual events or results to differ materially from
those expressed or implied. Forward-looking statements generally
can be identified by the use of words such as “may,” “will,”
“expect,” “intend,” “estimate,” “anticipate,” “believe,”
“forecast,” “guidance” or words of similar meaning. These risks
include our ability to successfully integrate Air Liquide Welding;
our ability to achieve the expected growth and efficiencies from
the Air Liquide Welding acquisition; and the Air Liquide Welding
acquisition being accretive to earnings and generating attractive
return on capital, within the expected time frame or at all. For
additional discussion of risk factors, see “Item 1A. Risk Factors”
in the Company’s Annual Report on Form 10-K for the year ended
December 31, 2016.
Contact
Amanda Butler
Director, Investor Relations
Tel: (216) 383-2534
Email: Amanda_Butler@lincolnelectric.com
Lincoln Electric (NASDAQ:LECO)
Historical Stock Chart
From Mar 2024 to Apr 2024
Lincoln Electric (NASDAQ:LECO)
Historical Stock Chart
From Apr 2023 to Apr 2024