ACCO Brands said it will buy Trust, a European maker of computer and gaming peripherals, in a deal that expands its technology accessories push and adds roughly $100 million in annual revenue.
The company said Trust’s business will lift ACCO’s pro forma technology peripherals sales to about $500 million a year. Trust sells keyboards, mice, headsets, speakers, webcams, chargers and gaming peripherals across Europe and Latin America through retail, e-commerce and B2B channels.
ACCO said it expects $5 million to $8 million in cost synergies within 18 months of closing. It also said the acquisition should be modestly accretive to adjusted EPS in the first 12 months.
Trust has been operating with about $100 million in annual revenue. ACCO said the transaction will be financed through borrowings under its revolving credit facility, with limited impact to pro forma leverage.
The deal is expected to close in late third quarter or early fourth quarter, pending customary closing conditions and competition authority approvals. Following these announcements, the company's shares moved 1.04%, and are now trading at a price of $4.365. If you want to know more, read the company's complete 8-K report here.
