Ingersoll Rand to Acquire Tuthill Pump Group, a Division of Tuthill Corporation
3 November 2021
Ingersoll Rand Inc., a global provider of mission-critical flow creation and industrial solutions, has entered into an agreement to acquire the assets of Tuthill Corporation’s Pump Group. The all-cash transaction, valued at $84.6 million, is expected to close in Q4, subject to customary closing conditions. Upon transaction close, the employees and brands of the Pump Group will join the Ingersoll Rand Precision and Science Technologies (PST) segment.
“This is the second business we have purchased from Tuthill Corporation and I’m excited to welcome another Tuthill team to the Ingersoll Rand family,” said Vicente Reynal, president and chief executive officer of Ingersoll Rand. “With an IRX-driven playbook in place, I’m confident the integration of the Pump Group will be as seamless and successful as the prior transaction, and will help extend our portfolio of mission critical, high margin pumping solutions within PST. This transaction aligns with our M&A focused capital allocation strategy, meets our strategic and financial criteria, and we expect it to deliver meaningful shareholder value through synergy realization, including a mid-single digit Adjusted EBITDA purchase multiple by year three of ownership.”
Tuthill’s Pump Group is a market leader in gear and rotary piston pump solutions for sustainable, high growth end markets, including life science, food and beverage, medical and water and wastewater treatment. It has two manufacturing locations in Alsip, IL and Ilkeston, UK, approximately 100 employees and annual sales of more than $25 million. Tuthill’s Pump Group is highly complementary to existing PST brands including MP, Oberdorfer and ARO, increases PST’s market presence, and provides access to new end markets, customers and applications.
“Tuthill’s Pump Group has been a part of my family for 100 years – and that is not a valid reason to deny the good people in this business the chance to team up with a powerhouse like Ingersoll Rand,” remarked James G. Tuthill, chairman of Tuthill Corporation. “The combination of this time-tested business with Ingersoll Rand’s industrial might is exciting indeed. With new wind in its sails, I can’t imagine a more promising future.”
About Ingersoll Rand Inc.
Ingersoll Rand Inc. (NYSE:IR), driven by an entrepreneurial spirit and ownership mindset, is dedicated to helping make life better for our employees, customers and communities. Customers lean on us for our technology-driven excellence in mission-critical flow creation and industrial solutions across 40+ respected brands where our products and services excel in the most complex and harsh conditions. Our employees develop customers for life through their daily commitment to expertise, productivity and efficiency. For more information, visit www.IRCO.com.
This news release contains “forward-looking statements” as that term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995, including but not limited to, statements that relate to our intent to acquire the assets of Tuthill Corporation’s Pump Group, the expected benefits of the proposed transaction, the timing of the transaction and the outcome of anticipated revenue and synergy opportunities. These forward-looking statements are based on Ingersoll Rand’s current expectations and are subject to risks and uncertainties, which may cause actual results to differ materially from these current expectations. Such risks and uncertainties, include, but are not limited to: our ability to timely obtain, if ever, necessary regulatory approvals of the proposed transaction; adverse effects on the market price of our ordinary shares and on our operating results because of our inability to timely complete, if ever, the proposed transaction; our ability to fully realize the expected benefits of the proposed transaction; negative effects of announcement or consummation of the proposed transaction on the market price of the company’s common stock; significant transaction costs and/or unknown liabilities; general economic and business conditions that may impact the companies in connection with the proposed transaction; unanticipated expenses such as litigation or legal settlement expenses; changes in capital market conditions; the impact of the proposed transaction on the company’s employees, customers and suppliers; and the ability of the companies to successfully integrate operations after the transaction. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. The inclusion of such statements should not be regarded as a representation that such plans, estimates or expectations will be achieved. Additional factors that could cause Ingersoll Rand’s results to differ materially from those described in the forward-looking statements can be found under the section entitled “Risk Factors” in its most recent annual report on Form 10-K filed with the Securities and Exchange Commission (“SEC”), as such factors may be updated from time to time in its periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. The foregoing list of important factors is not exclusive.
Any forward-looking statements speak only as of the date of this release. Ingersoll Rand undertakes no obligation to update any forward-looking statements, whether as a result of new information or development, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.