Stanley Black & Decker agreed to acquire Nelson Fastener Systems from Doncasters Group for $440 million in cash. The sale, which does not include Nelson’s automotive stud welding business, is expected to close in the first half of 2018.

“Nelson enhances Engineered Fastening’s presence in the general industrial end markets, (and) expands its portfolio of highly engineered fastening solutions,” Stanley Black & Decker stated.

The sale is part of Doncasters’ efforts to focus on its core specialized markets: Aerospace, Industrial Gas Turbine and Specialty Automotive. Doncasters said the deal will enable it to pay down some existing debt as well as provide capital to further invest in these markets and accelerate growth.

Elyria, OH-based Nelson Fastener Systems manufactures fasteners for the aerospace, automotive, construction, energy, industrial, marine and military markets. The company generates about $200 million in annual revenue. Web: nelsonfastenersystems.com

The announcement was made in Stanley Black & Decker’s financial report on 2017.

During the final quarter of 2017, Stanley Black & Decker’s Engineered Fastening organic revenues increased 1% “as automotive fastener penetration gains, which enabled growth in excess of light vehicle production, and strong volume growth in general industrial markets more than offset the impact from lower self-piercing rivet system shipments in automotive and lower volumes within electronics.”

Industrial segment revenue, including results from fasteners, increased 4.3% to $473.5 million in Q4, as volume (+2%) and currency (+3%) were moderated by divestitures (-1%). Q4 segment profit improved 9.5% to $75.8 million.

Full-year Industrial segment revenue rose 5.8% to $1.95 billion, with segment profit growing 15.7% to $352.3 million.

Overall Stanley Black & Decker revenues gained 12% to $12.7 billion, including 7% organic growth and 7% growth from acquisitions. The company’s operating margin rate was 14.1% in 2017. Web: StanleyBlackandDecker.com