Ingersoll Rand Announces Plans to Spin-Off Commercial and Residential Security BusinessesDecember 13th, 2012 | Category: Industry News
Swords, Ireland-based Ingersoll-Rand plc has announced a plan to spin off its commercial and residential security businesses. The separation will result in two standalone companies: Ingersoll Rand and the new security company, which will provide electronic and mechanical security products and services.
The new company’s brands will include Schlage, LCN, Von Duprin, Interflex, CISA, Briton, Bricard, BOCOM Systems, Dexter, Kryptonite, Falcon and Fusion Hardware Group.
Ingersoll Rand officials expect the spin-off to be completed in approximately 12 months.
“Given the distinct strengths and strategies of the two proposed companies, the board believes that this structure will enable investors to value our different businesses separately, creating value for both companies and their shareholders,” says Michael W. Lamach, chairman and CEO. “We believe the spin-off, which is the result of an in-depth review of strategic alternatives by our board and management, will allow both companies to enhance value by allocating capital and deploying resources in a more focused way, while preserving and increasing synergies within their businesses. At the same time, it will position the new security company to build scale and make the necessary investments for the future.”
The leadership team of the new security company is expected to be announced prior to the completion of the spin-off.