Stanley Black & Decker agreed to sell its Hardware & Home Improvement Group (HHI) to Sectrum Brands Holdings for $1.4 billion in cash.
Part of Stanley's Security segment, the HHI division makes residential locksets, builders hardware and plumbing fixtures under the brands of Kwikset, Weiser, Baldwin, Stanley, National and Pfister. HHI had 2011 revenues of $940 million.
"The sale of HHI is consistent with our strategy of strengthening our position as a diversified industrial company while maintaining the significant upside potential of a housing market recovery through our $5 billion CDIY portfolio," said John Lundgren, Stanley Black & Decker CEO.
The deal brings after-tax proceeds of $1.3 billion to Stanley, which said it intends to use it for share repurchases, a previously announced Infastech acquisition and deleveraging.