The iconic battery brand Rayovac has been sold to the company that made the Energizer bunny famous.
Spectrum brands on Tuesday, Jan. 16, 2018, announced it will sell its battery and lighting businesses to Energizer Inc. for $2 billion in cash.
"We do realize that employees are anxious to learn what will only be happening to the battery business, but it's just inappropriate and premature and unknown at this point," said Dave Prichard, a spokesperson for Spectrum Brands.
"It will be difficult to part both with this business and the talented people who have been involved with it, but we are also excited for the opportunities for the battery business under Energizer's stewardship," Prichard said.
Prichard said there are three principal locations scheduled to be sold in this deal:
Fennimore, which has 280 employees, where they make AA and AAA batteries.
Portage, which has 225 employees, where they make batteries for hearing aid devices.
Middleton World Headquarters, which has 195 employees working in research and development out of about 670 at that location There also are some employees there who work in the North American HQ regional operations.
The deal isn't expected to close until toward the end of the calendar year and any decisions on employees will be made by Energizer.
Spectrum announced early in January that it was seeking a buyer for some of its divisions.
David Maura, executive chairman of Spectrum Brands Holdings said the move is intended to focus on higher margin and faster growing brands within the company.
It also will allow them to focus on their four remaining businesses of Hardware & Home Improvement, Global Auto Care, Global Pet Supplies and Home & Garden.
“The Global Batteries & Appliances businesses are both strong, well-run divisions with excellent management and dedicated employees, and they have consistently contributed to the long-term success of Spectrum Brands,” said Andreas Rouvé, Chief Executive Officer of Spectrum Brands Holdings. ”We have received multiple inquiries from prospective buyers and are in active discussions with several. Given their attractiveness and upside potential, we believe these businesses can have accelerated success in the hands of new owners.”
For more go to WKOW: http://www.wkow.com/story/37277283/2018/01/16/spectrum-brands-sells-rayovac-to-competitor-energizer