Whirlpool Corporation today announced that it has reached a definitive agreement to sell the Hoover floor-care business to Techtronic Industries Co. Ltd. for U.S. $107 million in cash.
Whirlpool expects the transaction to close in the first quarter of 2007, following regulatory clearance. Upon close of the transaction, TTI will assume operational control of the Hoover business, including manufacturing operations in North Canton, Ohio, El Paso, Texas, Juarez, Mexico, and all other Hoover locations. As part of the sale, Whirlpool retains the liabilities associated with pension and post-retirement benefit plans for currently retired Hoover employees.
According to Whirlpool chairman and CEO Jeff M. Fettig, the decision to sell Hoover allows the company to focus on its core appliance business. Whirlpool has also recently sold Dixie-Narco and Amana. The company hopes to complete the sale of Jade by the end of the year.
to Daily News