Jacuzzi Brands said a definitive merger agreement has been signed under which affiliates of private equity firm Apollo Management L.P. will purchase Jacuzzi Brands in a transaction with a total value of $1.25 billion, which includes the assumption of outstanding debt of about $260 million, net of cash. The board of Jacuzzi Brands has approved the merger agreement and recommended its shareholders vote in favor of the transaction.
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.