Trimble (NASDAQ: TRMB) has entered into a definitive agreement to sell LOADRITE and three other businesses to Precisional LLC, a subsidiary of The Jordan Company (TJC). The other three businesses are Time and Frequency, Spectra Precision Tools and SECO accessories.
In a statement, Trimble says the divestiture is in line with its strategy to focus on areas core to its long-term growth and strategic product roadmap. The global transaction is subject to a number of customary closing conditions and is expected to close in the second quarter of 2022. Financial terms have not been disclosed.
“We are continually evaluating our product portfolio as we work on the execution of Trimble’s Connect and Scale 2025 strategy,” says Rob Painter, president and CEO of Trimble. “Trimble is focusing its efforts on the company’s connected industry platforms and digital transformation capabilities, making Precisional and TJC an ideal fit for the growth of the businesses.”
TJC, a private equity firm, is completing the acquisition in partnership with industry executive Drew Ladau to form Precisional LLC, a global platform focused on precision measurement and data solutions driving efficiencies in the most demanding infrastructure end markets.
“The Trimble businesses, which will join Precisional, have a long heritage of innovation, and each is a leader in the markets it serves. “I am excited to build upon this strong foundation alongside the dedicated employees that have served their customers so well over the years. In addition, we plan to accelerate the pace of innovation and growth with the focus of resources and investment on these core businesses supported by TJC,” says Drew Ladau, CEO of Precisional.
“The acquisition of four industry-leading businesses from Trimble by Precisional forms the foundation of a new platform focused on precise measurement and analytical insights to improve productivity across a broad range of applications that rely upon accuracy and reliability,” said Erik Fagan, partner at TJC. “By supporting existing management to make investments in Precisional’s operations and product development to integrate precision measurement with data solutions and enhance connectivity, we intend to accelerate growth opportunities while also pursuing synergistic acquisitions.”
The LOADRITE business offers accurate scales for loaders, excavators, conveyor belts, tractors, refuse trucks and forklifts that connect with payload-reporting and monitoring systems for the waste, quarry and aggregates industry. The products improve user efficiency by weighing products while they are on a vehicle or belt, eliminating the need for a separate trip to a fixed scale location.
The Time and Frequency products use the accuracy of GNSS clocks to provide precise time, synchronisation and frequency reference signals for many industries and applications. Communication systems, data centres, financial networks, utilities, factory automation, security and other infrastructure rely on precise timing for synchronization and operational efficiency.
The Spectra Precision Tools business designs and manufactures high-quality levelling, positioning and alignment instruments used for general, exterior and underground construction. The instruments incorporate laser and optical technology for general contractors and specialty contractors serving large and small commercial jobsites as well as residential builders and remodelers.
The SECO business designs and manufactures a wide variety of accessory products used in conjunction with surveying and construction instruments. The portfolio of accessory products includes tripods, telescopic poles, prisms, carrying cases, GPS antenna poles, safety vests and levelling rods.
LOADRITE, Spectra Precision Tools and the SECO businesses are part of Trimble’s Buildings and Infrastructure segment. The Time and Frequency business forms part of Trimble’s Geospatial segment.