Kennametal Inc. has announced that it has completed the sale of several non-core businesses to Chicago based holding company Madison Industries. The deal was stated to include US based Extrude Hone, Tricon, Landis, along with the Swiss based business of Kennametal Infrastructure (located in Biel/Bienne) and the German and Italian based businesses of Kennametal Stellite (Koblenz, Germany and Milan and Bellusco, Italy). An earlier statement valued the transaction at approximately $70 million in cash.
Kennametal stated that the sale was in alignment with the company’s previously announced portfolio simplification strategy, which includes plans to reduce Kennametal’s manufacturing footprint by 20-25%.
Each of the businesses will join the Madison Industrial Solutions segment of Madison Industries, led by David Coghlan, Madison Senior Managing Director and former CEO of Watts Water. Madison Industries claims to be one of the largest and most successful privately held companies in the world, with market leading businesses in filtration, medical equipment and industrial solutions.