Jarden to purchase Yearbook Maker Jostens for approximately $1.5 Billion

Jarden Corp., a sprawling purchaser-manufacturers company that owns every thing from Coleman grills to Rawlings baseball mitts, is including yearbooks and class rings to its lineup.

The company agreed to pay about $1.5 billion for Visant preserving Corp., which owns the faculty-memorabilia maker Jostens, from deepest-fairness enterprises KKR & Co. and APriori Capital partners. The deal quantity, which contains debt, is ready 7.5 instances Visant’s profits earlier than interest, taxes, depreciation and amortization, Jarden pointed out in a statement Wednesday.

Jostens, which dates to 1897, generates about $740 million in annual revenue through yearbook printing, championship rings, varsity jackets, commencement caps and robes, and other items. The business will turn into part of Jarden’s outside solutions divisions and should aid boost adjusted earnings per share in 2016, in line with the observation. The transaction is slated to shut in the fourth quarter.

The theory is to pair Jostens with Jarden’s related agencies, comparable to Rawlings sports equipment and uniforms and its Yankee Candle college-fundraising software. Jostens Inc. become up to now bought in 2003 by way of credit Suisse First Boston’s inner most-equity unit for approximately $500 million.

Jarden’s shares climbed 2.1 p.c to $51.seventy three in early trading after the acquisition was announced. they'd risen 5.9 percent this yr via Tuesday’s close.
private-fairness approach

Jarden, which has been described as a publicly traded inner most-equity company, customarily acquires brands in sturdy, niche classes. In July, it agreed to pay $1.35 billion for Waddington group Inc., which makes disposable cutlery. Jarden brands usually retain tons of their autonomy, together with headquarters, analysis and income groups, assisting them live entrepreneurial.

The company’s method changed into conceived via serial dealmaker Martin Franklin. In 2000, he and long-time partner Ian Ashken, tried and did not acquire Alltrista Corp., a bothered manufacturer of plastics. After pushing for seats on the board, Franklin became named chief government officer and Ashken took role of the chief economic officer. That business became Jarden, the place Franklin now serves as executive chairman.

With Jostens, Jarden mentioned it lined up financing to pay for the acquisition and might decide to fund a portion of the contend with excess cash on hand, bonds, bank debt or stock. Any can charge discount rates generated by way of merging Jostens with Jarden’s operations will probably be reinvested into product innovation, CEO James Lillie stated within the commentary.

Barclays Plc and Morgan Stanley informed Boca Raton, Florida-based mostly Jarden on the deal, whereas Kane Kessler served as felony information. Jefferies LLC and Simpson Thacher & Bartlett recommended Visant.