The transaction, which closed on Wednesday, will be financed from existing credit facilities.
Sentry Safe, a Rochester, N.Y.-based maker of personal safes with annual sales estimated to be about $150 million, will be a unit of Fortune Brands' Master Lock division.
"Sentry Safe's global brand strength in the adjacent personal safe market enables Master Lock to broaden its product offerings and leverage its iconic brand worldwide," said Chris Klein, Fortune Brands' chief executive, in a statement. "Both companies hold similar competitive advantages in their markets and produce products that protect people's most valuable assets. I am excited about the growth opportunities we will now have together to drive innovation, leverage global distribution and expand channels," he added.Fortune Brands made the announcement as it posted second quarter results. Sales increased 10% over the same period a year prior to $1.14 billion, while operating income was nearly $137 million from about $107 million year-over-year. Earnings per share spiked to $0.55 compared to $0.37 for the similar period a year ago. Sales at Fortune Brands' kitchen and bath cabinetry division, in particular, were up 19% for the second quarter, while the windows and doors unit saw a 9% rise in sales, and plumbing and accessories sales increased 5%. The sale of security and storage products, however, was down 5%, the company said. The consumer goods maker expects to generate $225 million to $250 million in free cash flow in 2014. Fortune Brands has repurchased $375 million worth of shares in 2014, and is authorized to purchase another $112 million, it said.
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