Last week, we reported that Illinois Tool Works(ITW) had decided to sell its Industrial Packaging Unit rather than spin it off. Now, the company has reached an agreement to sell the unit to the Carlyle Group for $3.2 billion. The deal values the business at 8.5 times EBITDA. This represents a continuation of a trend where conglomerates are… Read More »
Take an activist investor, mix in a large, underperforming corporation with numerous business lines and you have all of the ingredients for a spin. Right? Well, roughly a year ago, Illinois Tool Works (ITW) began a process of ‘exploring options’ for its industrial packaging unit as part of its grand five year plan to improve operating performance and… Read More »
Illinois Tool Works (ITW) has been going through quite the transformation over the past year or so after being egged on by activist investor Ralph Whitworth. The company sold a 51% stake in its decorative surfaces division last year and last week it announced that it was ‘exploring strategic alternatives’ for its industrial packing unit. This seems to fit… Read More »