Tarkett Enterprises Inc. is buying private equity-backed floorcovering company Tandus Group Inc. for an undisclosed amount. Tandus is a portfolio company of Oaktree Capital Management and Bank of America’s Global Principal Investments Group. Harris Williams & Co. acted as the exclusive financial advisor to Tandus.
Harris Williams & Co., a preeminent middle market investment bank focused on the advisory needs of clients worldwide, announces the sale of Tandus Group, Inc. (Tandus), a leading provider of innovative floorcovering, to Tarkett Enterprises Inc. (Tarkett). Tandus has been a portfolio company of an investment fund managed by Oaktree Capital Management, L.P. (Oaktree) and Bank of America’s Global Principal Investments Group. Harris Williams & Co. has acted as the exclusive financial advisor to Tandus. The transaction is expected to close on September 28, 2012 and has been led by Mike Hogan, Bob Baltimore, Dave Kennedy, Corey Benjamin and Ben Ross from the firm’s Richmond office.
“We’re beginning to see a resurgence of M&A activity in the building products sector and Tarkett’s acquisition of Tandus is a prime example of this trend that we expect to continue. The Tandus management team and its investors have done a tremendous job driving significant market share gains and building a leading commercial floorcovering business that we believe will provide a strong complement to Tarkett’s resilient and accessories flooring platform,” said Mike Hogan, managing director at Harris Williams & Co.
“This transaction is representative of Harris Williams & Co.’s global reach and access to international strategic buyers. We are excited to have helped connect these two companies and are confident that Tandus will enhance Tarkett’s competitive position and growth profile,” added Bob Baltimore, managing director at Harris Williams & Co.
For more than forty years, Tandus has created innovative floorcovering solutions through its unique product line of hybrid resilient, modular, broadloom and woven products. Through inspired design and leading-edge technology, Tandus offers its customers a single-source for creative product design and technology, comprehensive services and environmental leadership.
Oaktree is a leading global investment management firm focused on alternative markets, with $78.7 billion in assets under management as of June 30, 2012. The firm emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in distressed debt, corporate debt (including high yield debt and senior loans), control investing, convertible securities, real estate and listed equities. Headquartered in Los Angeles, CA, the firm has over 675 employees and offices in 13 cities worldwide.
Tarkett is a subsidiary of Tarkett SA, based in Nanterre, France. The Tarkett Group is the leading provider of innovative and sustainable flooring and sports surfaces with 2011 revenues of €2.1 billion. Tarkett has approximately 9,200 employees in 100 countries and in 32 production sites. Since 2007, Tarkett has been owned equally by the Deconinck family and private equity funds affiliated with Kohlberg Kravis Roberts & Co. L.P. (KKR).
Harris Williams & Co. (www.harriswilliams.com), a member of The PNC Financial Services Group, Inc. (NYSE:PNC), is a preeminent middle market investment bank focused on the advisory needs of clients worldwide. The firm has deep industry knowledge, global transaction expertise and an unwavering commitment to excellence. Harris Williams & Co. provides sell-side and acquisition advisory, restructuring advisory, board advisory, private placements and capital markets advisory services.
Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorized and regulated by the Financial Services Authority. Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business.