Thermadyne Holdings Corporation Agrees to Be Acquired by Irving Place Capital
6 October 2010
Thermadyne Holdings Corporation a leading global manufacturer and marketer of metal cutting and welding products and accessories, today announced that it has entered into a definitive agreement to be acquired by affiliates of Irving Place Capital, a middle-market private equity firm, in a transaction valued at approximately $422 million, excluding fees and expenses. Thermadyne, headquartered in St. Louis, Missouri, markets under a variety of brand names including Victor®, Tweco® / Arcair®, Thermal Dynamics®, Thermal Arc®, Stoody®, TurboTorch®, Firepower® and Cigweld®.
Under the terms of the agreement, Thermadyne’s shareholders will receive $15.00 per share in cash for each share of Thermadyne’s common stock, representing a premium of 18 percent over the average closing share price of $12.71 during the last 30 trading days ending October 4, 2010 and a 25 percent premium over Thermadyne’s average closing share price of $12.05 during the last 90 trading days ending October 4, 2010.
Paul Melnuk, chairman of the board of directors of Thermadyne, said, "I am very pleased with the accomplishments that our leadership team and employees around the world have made over the last seven years in restoring and revitalizing Thermadyne’s leadership position in the marketplace. This transaction allows all of our shareholders to realize the value created."
Martin Quinn, Thermadyne’s president said, "Our team has created a strong market presence with leading brands and unwavering customer commitment. Irving Place Capital’s ability to bring value-added resources will help continue Thermadyne’s growth momentum."
Douglas Korn, a senior managing director of Irving Place Capital, said, "We are excited to invest behind this talented management team in pursuit of Thermadyne’s vision for continued product and service innovations in key global markets."
The transaction is subject to shareholder approval and other customary closing conditions and is targeted to close in December 2010.
Irving Place Capital invests private equity capital in buyouts, recapitalizations and growth capital opportunities alongside superior management teams. Since its formation in 1997, Irving Place Capital has been an investor in more than 50 companies and has raised over $4.0 billion of equity capital, including its current $2.7 billion institutional fund.