Ingersoll-Rand Plans Spinoff of Security Business
CSC’s supplier partner Ingersoll-Rand, known in our industry for its well-known high-quality security locks and doors branded as Schlage, CISA, Kryptonite and Falcon, announced plans to spin off their commercial and residential security business. The new Security company will have approximately $2 billion in annual sales. It is reported that the breakup is largely due to hedge-fund manager Nelson Peltz pressing for IR to boost shareholder value.
“In separating out the security business, which really has very few synergies with the rest of the business, that’s a great step and likely to allow that business on its own to seek some potential buyers,” Steven Winoker, a New York-based analyst at Sanford C. Bernstein & Co., said in a telephone interview with Bloomberg Businessweek. “It’s an industry that continues to consolidate.”