Jarden Corporation, a Rye, NY-based consumer products company, plans to acquire Yankee Candle Investments LLC from Madison Dearborn Partners, LLC for approximately $1.75 billion in cash, subject to working capital and other adjustments.
Jarden Corporation has a diverse range of consumer products sold in three primary business segments. Jarden brands include K2, Rawlings, Bionaire, Crock-Pot, Mr. Coffee and First Alert among many others.
"We are delighted to announce this acquisition, which is consistent with our more than ten-year track record of success in acquiring leading consumer brands synonymous with their niche categories,” said Martin E. Franklin, Jarden's founder and executive chairman. “The iconic Yankee Candle brand is a natural extension of our existing portfolio and of our Branded Consumables business segment. As a successful, well-managed and well-invested business, Yankee Candle is a solid platform for us to leverage our proven, time-tested and portable brand-building approach and to drive additional value through investments in brand equity, product development and innovation. As our first significant acquisition since April 2010, Yankee Candle embodies all of the characteristics of our market-leading brands, while offering a compelling financial and strategic value proposition."
Harlan M. Kent, Yankee Candle's president and CEO, added, "This is a transformative milestone for Yankee Candle. Over the past 40 years, we have built a truly iconic brand with a deeply loyal customer base. Jarden is well known as a stable, long-term owner of businesses, and this will provide us with a perfect platform on which to grow. This acquisition provides us with the resources and scale necessary to drive our future success and will further strengthen our existing product development and distribution capabilities. Jarden's similar niche consumer strategy and complementary consumer portfolio will help to accelerate our expansion.”
The transaction, which is expected to close early in the fourth quarter of 2013, is subject to customary closing conditions and regulatory approvals.