Newell Brands announced on Friday that it has completed the previously announced sale of its Connected Home & Security business to Resideo Technologies for $593 million.
Based in Aurora, Ill., the CH&S business manufacturers and distributes smoke and carbon monoxide combo alarms, fire suppressants, fireproof safes and other home safety products under the BRK and First Alert brands.
First Alert employs more than 2,800 workers and its operations footprint includes manufacturing in Juarez, Mexico, and a primary distribution facility in El Paso, Texas. Last year, the company generated approximately $395 million of sales and adjusted EBITDA of approximately $55 million.
"The addition of First Alert to the Resideo portfolio provides a highly complementary extension of our existing sensor solutions in the home," Resideo CEO Jay Geldmacher said in a previous statement. "Not only does First Alert bring a leading brand and market position in home safety, but its products also occupy a highly strategic position on the ceiling. We see significant operational synergies with First Alert's strength in retail and relationships with leading homebuilders and Resideo's strong partnership with professional contractors and distributors. First Alert advances our strategy of expanding Resideo's presence with contractors and broadening our suite of sensors for the home."
The deal is still subject to customary working capital and transaction adjustments.
