* Says expects deal to close by Sept. 30
* Says deal to add to EPS and cash flow in 2011
* Expects revenue to rise 13-14 pct in Q3
July 20 Diversified manufacturer Griffon Corp
(GFF.N) said it would buy lawn and garden tools maker Ames True
Temper from private equity firm Castle Harlan for $542 million
Ames True Temper, founded in 1774, is known for its
long-handled non-power tools, including rakes and shovels,
wheelbarrows, snow tools and pots and planters.
Griffon, which makes a sensors, garage doors and speciality
plastic films, said it expects the deal to add to cash flow and
earnings in fiscal 2011.
The deal will be financed by a $500 million term loan
commitment from Goldman Sachs Lending Partners and about $75
million of Griffon's cash.
Separately, Griffon said it expects revenue to increase
increase 13 percent to 14 percent in the third-quarter. In the
second quarter, revenue grew 14 percent to $314 million.
For the Ames True Temper acquisition, Goldman Sachs & Co
and Lazard Freres & Co. LLC acted as financial advisers to
The Company expects to report its third-quarter results on
Shares of Griffon were up 1 percent at $12.00 in trading
after the bell. They closed at $11.87 Monday on the New York
(Reporting by Divya Sharma in Bangalore; Editing by Saumyadeb