Washington, North Carolina-headquartered Flanders specialises in residential and industrial air filtration. The company, which had sales of US$298 million in 2015 and employs 2700 people, was acquired by Insight Equity Holdings LLC in 2012.
Under Daikin, the Flanders business will be integrated into AAF which will leverage its global sales network to market the newly acquired cleanroom equipment and high-end air filter products.
As a result of the acquisition, Daikin’s filter business, which also includes Nippon Muki Co Ltd, will have annual sales of more than ¥100 billion. Daikin anticipates future synergies with its air conditioning business as the filter business transforms into a third pillar for Daikin behind air conditioning and chemicals.
The acquisition is expected to close in April 2016.
Baird acted as the exclusive financial advisor to Flanders on the deal.