3M to acquire Scott Safety for $2B
3M recently completed a deal to acquire Scott Safety from Johnson Controls for $2 billion, according to Forbes. Scott Safety manufactures personal protection equipment and thermal imaging cameras, among other equipment.
The deal, which is expected to close in the second half of 2017, is the second-largest acquisition by 3M in the company’s history. According to Forbes, 3M has been working to grow its safety products sector in recent years, and Scott Safety posted $570 million in revenues in 2016. Add to this revenue from 3M’s other recent safety acquisition, Capital Safety, and revenues exceed $1 billion annually.
A recent Grandview Research study estimated the PPE market at $38.38 billion in 2015, and it is expected to continue its growth, especially with more nations adopting “U.S.-style safety standards,” adhering to stringent safety requirements, and with continued manufacturing growth in the Middle East and Asia-Pacific areas.
The article also pointed to fall-protection markets, which are expected to grow beyond $3.6 billion over the next seven years, as well as the respiratory-protective segment, which is expected to grow at a compound annual growth rate of 7 percent during the same time period due to demand from mining, fire services and emergency professionals.
For the full article from Forbes, click HERE.