Nearly billion-dollar purchase called “an excellent strategic fit”
- Keeping brands intact
- “Strengthens value to customers globally”
Colfax Corporation has completed its purchase of Victor Technologies Holdings, the portfolio of welding, cutting, and gas-control equipment and technologies that has been one of the principle rivals to Colfax’ own ESAB product line. The deal, first reported in February and estimated at $947.3 million, reportedly will keep both current brand families intact but expand the geographic reach of the holding company and establish “a comprehensive product portfolio that brings a broader array of solutions to the global welding and cutting industry.”
Calling the combination “an excellent strategic fit,” ESAB senior vice president Ken Konopa said, “The products, technology and expertise Victor brings to our portfolio, when combined with ESAB’s solutions, strengthens our value to customers globally.”
Konopa predicted “a seamless integration experience for our customers, channel partners and associates.”
When it announced the intended purchase earlier this year, the buyer also stated its Colfax Business System would drive ESAB and Victor’s joint efforts to develop new products, add value to current products, and provide “differentiated customer solutions.”
Two years ago Colfax paid $2.4 billion to acquire Charter International, which included welding equipment and cutting equipment supplier ESAB.
Like Victor, ESAB produces welding and cutting equipment, and welding consumable products, along with the associated automation systems.
Victor Technologies’ several brands supply welding, cutting, and gas-control technologies, including Victor, Tweco, Arcair, Thermal Dynamics, Thermal Arc, Stoody, TurboTorch, Firepower, and Cigweld. Last fall, it added the British Gas-Arc Group Ltd. to the group in a $40-million deal.
In 2010, Victor Technologies (then known as Thermadyne Holdings) was the object of a $422-million acquisition by a private-equity group, Irving Place Capital. Irving Place is the group that agreed to sell its interest to Colfax in a binding agreement.