Federal Signal completes sale of Technologies Group to 3M
Federal Signal Corp. has sold its Technologies Group (FSTech) business to 3M Co. for $110 million in cash, subject to working capital adjustments in favor of 3M of approximately $6 million. Included in the FSTech Group is Federal APD, the well-known manufacturer of parking revenue control equipment.
Dennis Martin, Federal Signal’s President and CEO said, “I would like to thank all of the talented employees of FSTech for their innovative contributions and leadership in the intelligent transportation industry. I am confident that the partnership between FSTech and 3M will be mutually rewarding.”
As for the impact of the sale on Federal Signal, Martin stated, “The timing of the transaction provides us with a valuable opportunity to prepay debt at par, and to refinance the balance of remaining indebtedness in February 2013. … The sale [also] will allow us to concentrate our focus on profitable growth in our core businesses of industrial and municipal equipment and safety and security solutions.”
(Source: Federal Signal Corp.)
Article Abstract from October, 2012