Gardner Denver To Merge With Ingersoll Rand's Industrial Unit - Quick Facts

(RTTNews) - Gardner Denver Holdings, Inc. (GDI) and Ingersoll-Rand plc (IR) have reached an agreement, under which Ingersoll Rand will separate its Ingersoll Rand Industrial unit by way of a spin-off to shareholders to combine with Gardner Denver. The resulting industrial company is expected to be called Ingersoll Rand and trade under Ingersoll Rand's existing ticker. It will be led by current Gardner Denver CEO, Vicente Reynal. The deal is expected to close by early 2020, and is subject to approval by Gardner Denver stockholders.

As per the terms of the deal, existing Ingersoll Rand shareholders will receive 50.1% of the shares of the new industrial company on a fully diluted basis, valued at approximately $5.8 billion. The current Gardner Denver shareholders will retain 49.9% of the shares of IndustrialCo.

At the time of close, the HVAC and transport refrigeration assets of the current Ingersoll Rand or the ClimateCo, will receive $1.9 billion in cash from Ingersoll Rand Industrial that will be funded by newly-issued debt assumed by Gardner Denver. The ClimateCo will continue to be led by Ingersoll Rand's CEO, Mike Lamach.