Briggs & Stratton Corporation has acquired Companhia Caetano Branco for approximately $57 million in cash, a purchase announced in November and intended to give Milwaukee-based Briggs & Stratton a new foothold in emerging markets. Branco is a Brazilian manufacturer of generators, water pumps, and light construction equipment, with a network of more than 1,200 dealers in that country.
The purchase price is slightly less than the amount estimated at the time it was announced.
"This is a very positive outcome for Branco customers and Briggs & Stratton,” according to Branco CEO Denise Remor, who added that Branco’s brands and operations would strengthen the Briggs & Stratton brand.
Briggs & Stratton is the world's largest producer of gasoline engines for outdoor power equipment. It also produces portable generators and pressure washers. It already has design, manufacturing, and marketing arms in more than 100 countries.
"This acquisition brings two great companies with incredible brand strength together,” Briggs president, chairman, and CEO Todd Teske stated. “It is also another step in executing our strategy to expand in developing regions of the world in order to diversify both our product portfolio and our geographic footprint."
Teske emphasized Branco's “brand strength, employees and customer base” as advantages for Briggs as it works to grow in Brazil, a country he said has “aggressive infrastructure needs and a history of higher growth opportunities, which can only add to the operating performance of our company."