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This week, Newell Rubbermaid announced it will acquire Jarden Corp., the company known for popular consumer goods from brands such as Crock-Pot and Coleman, for $15.4 billion, according to USA Today.
Rubbermaid, which produces products like Sharpie, Paper Mate and Irwin, is buying Jarden for cash and stock, the article says. The combined company will be known as Newell Brands.
“The combination of these two great companies creates a $16 billion consumer goods company with incredible potential to grow and create value,” Michael B. Polk, Newell Rubbermaid president and CEO, says in a company statement. “The scale of our combined businesses in key categories, channels and geographies creates a much broader canvas on which to leverage our advantaged set of brand development and commercial capabilities for accelerated growth and margin expansion.”
The deal is expected to close in the second quarter of 2016, according to USA Today. Newell Rubbermaid’s Polk will become CEO of the new company, while Newell chief development officer Mark Tarchetti will become president. Martin Franklin, the founder and executive chairman of Jarden, will join the company’s board of directors.
“I am delighted that we are to play a part in bringing together these two winning companies,” Franklin says. “The combination offers significant value for our shareholders and the opportunity to participate in the combined company’s long-term value creation potential as shareholders in Newell Brands. I’m extremely proud of Jarden’s success over the past 14 years, which has been driven by an extraordinary culture designed to perform at a high level.”
The new company will be called Newell Brands. The acquisition is subject to approval by shareholders of both Newell Rubbermaid and Jarden Corp.
