Shareholders of Black & Decker will get 1.275 shares of Stanley stock and should see an increase in overall shareholder value from the merger.Stanley buys and sells companies faster than I can keep track, last year they sold CST/David White to Bosch Tools.
will be part of the executive team as Senior Vice President and Chief Financial Officer of the combined company, and key members of both the Stanley and Black & Decker executive teams will hold positions in the combined organization. The transaction is subject to customary regulatory approvals and closing conditions and requires the approval of Stanley and Black & Decker shareholders. acted as Stanley’s financial advisors and Cravath, Swaine & Moore LLP acted as Stanley’s legal counsel. In addition, these documents may be obtained from Stanley or Black & Decker free of charge by directing a request to Investor Relations, The Stanley Works, 1000 Stanley Drive, New Britain, CT 06053, or to Investor Relations, The Black & Decker Corporation, 701 E. Stanley, Black & Decker and certain of their respective directors and executive officers may be deemed to be participants in the proposed transaction under the rules of the SEC.Joining these two companies together creates a powerful engine for growth, both as markets around the world recover and over the long-term.” Mr.Archibald commented, “While we are pleased with the initial premium of approximately 22%, the driving motivation of the transaction is the present value of the 0 million in annual cost synergies and the combined financial strength and product offerings of the merged companies.I guess the big question will be how will this effect the quality of the tools for De Walt, Porter Cable and other brands.Black & Decker has had some problems in recent years with their loyal customers being disappointed in degrading quality. In addition, both companies will host a joint investor lunch on Tuesday, November 3, 2009 at p.m. The live webcast of the meeting can be accessed at The Stanley Works (NYSE: SWK), a worldwide supplier of quality tools and engineered solutions for industrial, construction and do-it-yourself use, and security solutions for commercial applications, and The Black & Decker Corporation (NYSE: BDK), a global manufacturer and marketer of quality power tools and accessories, hardware and home improvement products, and technology-based fastening systems, announced today that they have entered into a definitive merger agreement to create Stanley Black & Decker, an .4 billion global industrial leader in an all-stock transaction valued at approximately .5 billion.