3M has entered into a definitive agreement to acquire Scott Safety from Johnson Controls for a total enterprise value of $2 billion. Scott Safety is a premier manufacturer of innovative products, including self-contained breathing apparatus (SCBA) systems, gas and flame detection instruments, and other safety devices that complement 3M’s personal safety portfolio.
Based on generally accepted accounting principles, 3M estimates the acquisition to be $0.10 dilutive to earnings in the first 12 months following completion of the transaction. Excluding purchase accounting adjustments and anticipated one-time expenses related to the transaction and integration, 3M estimates the acquisition to be $0.10 accretive to earnings over the same period.
The transaction is expected to close in the second half of 2017, subject to customary closing conditions and regulatory approvals. 3M will finance the transaction through a combination of cash and debt.
For more information, visit www.3m. com or www.scottsafety.com.