Ergotron, a St. Paul-based maker of sit-to-stand desks and different ergonomic merchandise and equipment for work settings, is being acquired by a personal fairness agency in Houston for $650 million.
Ergotron’s proprietor, London-based Melrose Industries, introduced Monday it had entered an settlement to promote the manufacturing enterprise to funds managed by the Sterling Group.
Ergotron had gross belongings of roughly $773 million in 2021, with adjusted working income of $72.7 million, in keeping with a information launch on the sale. The corporate’s merchandise embrace monitor mounts, pc carts, standing desks and workstations for varied industries, together with well being care, schooling and authorities. It additionally makes merchandise for residence places of work.
The transaction is predicted to shut within the third quarter of this yr.
Melrose Industries acquired Ergotron in 2016 when it purchased its former mother or father firm, Nortek Inc., for $2.8 billion.
“The sale of Ergotron is the ultimate step in our Nortek possession cycle, capping what has been a really profitable acquisition for Melrose shareholders,” Simon Peckham, chief government of Melrose Industries, mentioned in a press release.
An Ergotron spokesperson mentioned the corporate had no remark. Sterling Group representatives didn’t reply to a request for remark.
Ergotron had year-over-year gross sales progress of 15% in 2021, pushed by demand for extra ergonomic merchandise in well being care settings and residential places of work as extra individuals selected to make money working from home, Melrose Industries’ 2021 annual report mentioned. For 2021, Ergotron had income of about $293 million, up from $267 million in 2020.
Ergotron was based in 1982 and employs 1,300 worldwide, in keeping with Pitchbook, a mergers and acquisition and funding analysis agency.
Sterling Group has $5.7 billion in belongings beneath administration. Half of the agency’s investments have been in firms carved out of bigger companies.