Bain Capital is set to buy tools manufacturer Apex Tool Group from NYSE-listed owners Danaher Corporation and Cooper Industries for about $1.6 billion.
Apex produces hand and power tools for industries including the automotive, electronics, energy and hardware sectors. The company operates in both developed markets and emerging markets including China and Brazil, according to a statement.
The acquisition marks Bain’s largest disclosed transaction of the year. The firm previously invested $1 billion in Indian business processing compnay Genpact in August, $800 million in plastic packaging company Consolidated Container Company in July and $238 million in consumer warranty provider SquareTrade in January. Bain also acquired a 50 percent stake in Japanese TV shopping channel Jupiter Shop Channel for a reported $1.24 billion in June and Swedish installation services business Bravida for an estimated $1 billion in May.
The Apex deal is expected to close during the first half of 2013. Barclays Capital, Goldman Sachs, Morgan Stanley, RBC Capital Markets, Citigroup and Deutsche Bank provided financing in connection with the transaction.
Bain’s handful of private equity investments this year have coincided with the firm raising is eleventh buyout fund, which launched this year with a $6 billion target, and a separate vehicle for co-investments targeting $2 billion, according to data provider Private Equity Connect.
Bain’s largest deal of the year comes after a string of large-scale private equity transactions by its peers in recent months. In August, The Carlyle Group acquired DuPont Performance Coatings for $4.9 billion, Clayton Dubilier & Rice purchased a majority stake in specialty retailer David’s Bridal for $1.05 billion and Advent International bought a majority stake in AOT Super Holdings, the parent company of two mattress manufacturers, for a reported $3 billion.