Hillenbrand Completes Acquisition of Milacron

Hillenbrand, Inc. (“Hillenbrand”) announced it has completed the acquisition of Milacron Holdings Corp. in a cash and stock transaction valued at approximately $1.9 billion, including the repayment of Milacron’s outstanding debt.

“The completion of the Milacron acquisition represents a pivotal step in our journey to become a world-class global diversified industrial company, and we look forward to realizing the benefits of this transformative transaction as we continue to execute our strategy to drive profitable growth,” said Joe Raver, President and Chief Executive Officer of Hillenbrand. “This is an important milestone in both companies’ long histories and I’m excited to welcome Milacron employees to Hillenbrand.”

Under the terms of the merger agreement entered into on July 12, 2019, Milacron stockholders receive $11.80 in cash and a fixed exchange ratio of 0.1612 shares of Hillenbrand common stock for each share of Milacron common stock they own, representing approximately 16% of Hillenbrand’s outstanding shares on a post-close basis. The completion of the transaction follows the satisfaction of all closing conditions under the merger agreement, including approval of the acquisition by Milacron stockholders.

Milacron is a global leader in highly engineered and customized systems in plastic technology and processing with more than $1 billion in annual revenue. It has strong industry positions and brands, as a leader in hot runner systems and injection molding equipment. Together, the combined company will have increased scale and meaningful product diversification, enhancing its ability to serve customers with expanded capabilities across the plastics value chain, including base resins production, compounding, plastics processing, and recycling.

With the completion of this transaction, Milacron stock has ceased trading and is no longer listed on the New York Stock Exchange.

Hillenbrand announced that it is reviewing strategic alternatives for Milacron’s Cimcool business. Financial advisor Houlihan Lokey has been engaged to assist in the review. The company cannot predict the timing or the outcome of this work and does not intend to comment further until the Board of Directors approves a specific transaction or the company believes that disclosure is otherwise appropriate.

“Given our vision to create a portfolio of scalable businesses and the need to target our internal investments, we believe it is in the best interest of Hillenbrand and Cimcool to seek strategic alternatives for Cimcool,” added Raver. “It’s a compelling business with strong cash flow characteristics that we believe will be better able to achieve its goals in an alternative setting.”

Leadership Announcements

In addition to Hillenbrand’s current executive team, who will continue to report to Joe Raver, President and Chief Executive Officer of Hillenbrand, the Company has appointed Mac Jones as President, Milacron Injection Molding & Extrusion, and Ling An-Heid as President, Mold-Masters to join the Hillenbrand Executive Management Team.

“It’s an honor to lead this executive team and I look forward to working closely with this group as we combine the strengths of both Hillenbrand and Milacron. The infusion of key talent will enhance our culture and competitive position and is at the heart of achieving our strategic direction,” said Joe Raver.

About Hillenbrand

Hillenbrand (www.Hillenbrand.com) is a global diversified industrial company with businesses that serve a wide variety of industries around the world. We pursue profitable growth and robust cash generation to drive increased value for our shareholders. Hillenbrand’s portfolio includes industrial businesses such as Coperion, Milacron Injection Molding & Extrusion, and Mold-Masters, in addition to Batesville, a recognized leader in the death care industry in North America. Hillenbrand is publicly traded on the NYSE under “HI.”

Source: Hillenbrand, Inc.