US-based gasoline engine maker Briggs & Stratton Corporation has acquired Tamil Nadu’s Premier Power Equipments and Products Pvt Ltd for an approximate value of $3 million or Rs 14.89 crore, the company has said in a statement.
The current acquisition marks the US company’s initiative to expand into developing markets in order to diversify its products and geographic portfolio, the company has further added.
Founded in 2004, Premier Power manufactures and markets Briggs & Stratton generators in southern and eastern India. The company also specialises in stand-by power and agricultural equipment. It has a manufacturing facility at Pappampatti, Coimbatore, and operates an in-house research and development centre.
“Premier has the agricultural products and distribution network that will serve as a platform for our future growth within India,” said Todd Teske, chairman, president and CEO of Briggs & Stratton.
The company will finance the transaction from cash on hand. It also expects that the acquisition will not have a material effect on its earnings in fiscal 2012.
Founded in 1908 and headquartered in Wauwatosa (Wisconsin), Briggs & Stratton designs, manufactures, markets and services air-cooled gasoline engines for outdoor power equipment worldwide. It operates in two segments – engines and power products. The engines segment products are primarily used for lawn and garden equipment like walk-behind lawn mowers, riding lawn mowers, garden tillers and snow throwers. Besides, this segment caters to industrial, construction, agriculture and other consumer applications, such as generators, pumps and pressure washers. The company also manufactures replacement engines and service parts.
The power products segment offers portable and standby generators, pressure washers, snow throwers and lawn and garden powered equipment. Manufactured under various brands such as Briggs & Stratton, Brute, Craftsman, Ferris, John Deere, GE, Murray, Simplicity, Snapper, Troy-Bilt and Victa, these products are sold through several retail distribution channels including consumer home centres, warehouse clubs, mass merchants and independent dealers.