September 5, 2017 / 9:28 PM / a year ago

BRIEF-Griffon Corp to buy ClosetMaid and seek alternatives for Clopay Plastic Products

Sept 5 (Reuters) - Griffon Corp

* Griffon corporation to acquire closetmaid® and explore strategic alternatives for clopay plastic products

* Griffon corp says deal for $260 million​

* Griffon corp - ‍acquisition is expected to be financed through cash on hand, availability on our revolving credit facility​

* Griffon corp says acquisition of closetmaid will be immediately accretive to cash flow and earnings

* Griffon corp - ‍acquisition also is expected to be financed through committed debt financing which is expected to be in form of a senior notes offering​

* Griffon corp - ‍after taking into account tax benefits resulting from transaction, effective purchase price is $225 million​

* Griffon corp - ‍in first fy of operations, co expects closetmaid to contribute $300 to $315 million in revenue, between $0.08 and $0.10 in earnings per share​

* Griffon corp - ‍griffon and emerson will make a joint election permitting transaction to be treated as an asset purchase for tax purposes​

* Griffon corp - ‍election will generate a tax benefit with an estimated present value of $35 million for griffon and its shareholders​ Source text for Eikon: Further company coverage: (Bengaluru Newsroom: +1 646 223 8780)

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