Parker To Acquire Filtration Company CLARCOR In A Strategic Portfolio Transaction

  • Strengthens Parker's Filtration Business with Addition of Complementary Product Lines and Markets
  • Expected to Be Accretive to Cash Flow, EPS, and EBITDA Margins - Excluding One-time Costs
  • Significantly Increases Presence in Filtration, Adding Resilient, Growth Business
  • Strong Recurring Revenue - Approximately 80% of Sales Are Aftermarket
  • Enhances Total Parker Systems Solutions
  • Parker to Host Conference Call Today at 7:30 AM CT / 8:30 AM ET

CLEVELAND and FRANKLIN, Tenn., Dec. 01, 2016 (GLOBE NEWSWIRE) -- Parker Hannifin Corporation (NYSE:PH) ("Parker") and CLARCOR Inc. (NYSE:CLC) ("CLARCOR"), today announced that the companies have entered into a definitive agreement under which Parker will acquire CLARCOR for approximately $4.3 billion in cash, including the assumption of net debt.

Under the terms of the agreement, Parker will purchase all of the outstanding shares of CLARCOR for $83.00 per share in cash. This represents a premium of approximately 17.8 percent to CLARCOR's closing share price on November 30, 2016 and a premium of approximately 29.2 percent to CLARCOR's volume weighted average share price over 90 days and a premium of approximately 17.1 percent to CLARCOR's all-time and 52-week high. The transaction has been unanimously approved by the Board of Directors of each company.

CLARCOR, headquartered in Franklin, TN, is a diversified marketer and manufacturer of mobile, industrial and environmental filtration products with annual sales of approximately $1.4 billion and 6,000 employees worldwide. CLARCOR adds a broad array of industrial air and liquid filtration products and technologies to Parker's filtration portfolio.

"This strategic transaction is consistent with our stated objective to invest in businesses that accelerate Parker towards our goal of top quartile financial performance," said Tom Williams, Chairman and Chief Executive Officer of Parker. "The combination of Parker and CLARCOR is highly complementary and offers a great opportunity to combine our strength in international markets and OEMs with CLARCOR's strong U.S. presence and high percentage of recurring sales in the aftermarket."

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