New York, NY (November 8, 2006) -- KPS Special Situations Funds (“KPS”) announced today that it has signed a definitive agreement to sell its portfolio company, Speedline Technologies, Inc. (“Speedline”), to Illinois Tool Works Inc. (NYSE: ITW). Financial terms of the transaction were not disclosed.
David Shapiro, a Managing Principal of KPS, stated, “We commend Pierre De Villemejane, Speedline’s Chief Executive Officer, and his management team, for positioning Speedline to be sold to a company of ITW’s stature. We believe that Speedline has found the perfect home in ITW and wish the best to all of Speedline’s dedicated employees as they embark on this exciting chapter in the history of their company.”
The transaction represents the third sale of a portfolio company by KPS this year, and the seventh significant liquidity event involving an investment of KPS Special Situations Fund II.
Jefferies Broadview, a division of Jefferies & Company, Inc., acted as the financial advisor to KPS.
The transaction is expected to be completed in the fourth quarter of 2006.
About Illinois Tool Works Inc.
Illinois Tool Works Inc. (NYSE: ITW) is a $12.8 billion in revenues diversified manufacturer of highly engineered components and industrial systems and consumables. The Company consists of approximately 700 business units in 48 countries and employs approximately 50,000 people.
About Speedline Technologies, Inc.
Based in Franklin, Massachusetts, Speedline Technologies, Inc. (www.speedlinetech.com) designs, manufactures and supports a variety of equipment used in the assembly of printed circuit boards and semiconductor packages. Speedline products are used in the electronics manufacturing industry throughout the world, supplying its customers with best in class performance and lowest cost of ownership.
About KPS Capital Partners
KPS, through its affiliated management entities, is the manager of the KPS Special Situations Funds, a family of investment funds with approximately $21.8 billion of assets under management (as of June 30, 2024). For over three decades, the Partners of KPS have worked exclusively to realize significant capital appreciation by making controlling equity investments in manufacturing and industrial companies across a diverse array of industries, including basic materials, branded consumer, healthcare and luxury products, automotive parts, capital equipment and general manufacturing. KPS creates value for its investors by working constructively with talented management teams to make businesses better, and generates investment returns by structurally improving the strategic position, competitiveness and profitability of its portfolio companies, rather than primarily relying on financial leverage. The KPS Funds’ portfolio companies generate aggregate annual revenues of approximately $21.6 billion, operate 245 manufacturing facilities in 26 countries, and have approximately 64,000 employees, directly and through joint ventures worldwide (as of June 30, 2024, pro forma for the recent acquisitions of Sport Group and Innomotics which closed on July 8, 2024 and October 1, 2024, respectively). The KPS investment strategy and portfolio companies are described in detail at www.kpsfund.com.
