Clean Harbors Buys Safety-Kleen, Mohawk Buys Pergo: Merger and Acquisitions Review
Clean Harbors (NYSE:CLH) purchases the oil recycling company Safety-Kleen at a price of $1.25 billion. The buyer says that the transaction should immediately add to earnings, as Safety-Kleen generated revenues of $1.3 billion last year, and also that the acquisition will allow it to penetrate the small quantity waste generator market and widen its waste treatment capacities to include re-refining waste oil along with expanded solvent recycling capabilities.
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Riverbed Technology (NASDAQ:RVBD) is buying Opnet Technologies (NASDAQ:OPNT), which develops software that manages network traffic, at an equity value of $1 billion and an enterprise value of $921 million. The transaction, comprised of $43 per share in cash and stock, marks a 34 percent bonus to Opnet’s Friday close, when Riverbed closed at $22.62 and Opnet at $32.10.
Flooring supplier Mohawk Industries (NYSE:MHK) acquires the laminate flooring manufacturer Pergo for $150 million in a cash deal as the buyer seeks to expand its reach. For its part, Pergo operates manufacturing facilities both in the United States and in Sweden and saw 2011 sales of approximately $320 million in the U.S. and in Europe. The purchase should close by the first quarter of next year, and Mohawk says that it should be accretive in the first year.
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