Apollo is partnering with George M. Sherman, non-executive chairman of Rexnord Corp. and former president and CEO of Danaher Corp., in the acquisition. Upon completion of the merger, Sherman will become non-executive chairman of Jacuzzi Brands and be a co-investor with Apollo in the transaction.
Sherman noted that Jacuzzi Brands brings two attractive operating segments to Apollo's portfolio: Zurn for the domestic commercial water management industry and Jacuzzi for branded bath, spa and shower products. The acquisition is expected to close in the first quarter of 2007. The Zurn business may be transferred to Rexnord Corp., an Apollo portfolio company, following the close of the transaction.
Certain members of Jacuzzi Brands' management, including President and CEO Alex Marini, are expected to remain with the businesses after the closing.