K2 Acquired By Fortune 1000 Company Jarden
SAM Magazine-Vashon Island, Wash., Apr. 27, 2007-As any local fueling up at the local java joint on a powder day will tell you, coffee and skiing go together like Vegas and drive-through weddings. The caffeine-skiing connection just became a bit closer as the Jarden Company, owner of such brands as Mr. Coffee, has announced the acquisition of K2 in a deal worth approximately $1.2 billion.
Jarden is a major player in corporate America, with a portfolio of brands that includes Sunbeam and Coleman as well as Crock-Pot and Oster. To these it is adding K2 brands Adio, Ex Officio, JT, K2, Marker, Marmot, Penn, Rawlings, Ride, Sevylor, Shakespeare, Stearns, Volkl and Worth. Jarden ranks #585 on the Fortune 1000 list of the largest corporations in the U.S. and has more than 20,000 employees worldwide. Jarden's corporate headquarters are in Rye, N.Y.
Jarden believes that K2 will provide significant growth opportunities and the ability to expand into adjacent markets. Martin E. Franklin, Jarden's chairman and CEO, said, "We are enormously excited about today's announcement as it marks another important step in our planned and disciplined growth strategy as a world-class, diversified, niche-oriented consumer products company. Adding K2's broad portfolio of leading brands to our portfolio will create cross-selling opportunities both domestically and internationally, will expand our presence in specialty channels, will further diversify our products, revenues and earnings, and will create additional scale to leverage in our supply chain, distribution, manufacturing and sourcing networks." K2's primary business lines will report through Jarden's Outdoor Solutions segment.
"We believe that Jarden is the perfect strategic partner for us," said Richard J. Heckmann, K2's executive chairman of the board. "Combining our world-renowned brands with Jarden's scale and innovative resources should bring tremendous value to our employees, retail partners and customers. I am extremely proud of our employees' accomplishments over the last five years, and I am excited about the road ahead for K2 as part of the Jarden family."
The sale is expected to close during the third quarter of 2007, subject to Hart-Scott-Rodino approval, the approval of K2's stockholders and other customary closing conditions.