Richard L. Bready, Chairman and CEO
Edward J. Cooney, Vice President and Treasurer
(401) 751-1600
IMMEDIATE
THOMAS H. LEE PARTNERS, L.P. AND MANAGEMENT COMPLETE
ACQUISITION OF NORTEK HOLDINGS
PROVIDENCE, RI, August 27, 2004—Nortek Holdings, Inc.(“Nortek Holdings”), the parent company ofNortek, Inc. (“Nortek”), a leading international designer, manufacturer and marketer of high-quality brand name building products, today announced that Thomas H. Lee Partners, L.P., in partnership with Richard L. Bready,Nortek’s Chairman and CEO and other members of management, has completed its previously announced acquisition ofNortek Holdings. Prior to the completion of the transaction, affiliates of Kelso and Company, L.P. owned a majority of the capital stock ofNortek Holdings. The transaction valuesNortek Holdings at approximately $1.75 billion.
UBS Investment Bank and Credit Suisse First Boston led the arrangement of the debt financing for the transaction. UBS Investment Bank, Credit Suisse First Boston and Daroth Capital Advisors LLC served as financial advisors toNortek. Ropes & Gray LLP provided legal advice for Thomas H. Lee Partners, L.P. inconnection with the transaction and Skadden, Arps, Slate, Meagher & Flom LLP provided legal advice toNortek Holdings and Kelso in connection with the transaction.
Nortek Holdings* (the parent company ofNortek, Inc.) is a leading international manufacturer and distributor of high-quality, competitively priced building, remodeling and indoor environmental control products for the residential and commercial markets.Nortek Holdings offers a broad array of products for improving the environments where people live and work. Its products currently include: range hoods and other spot ventilation products; heating and air conditioning systems; indoor air quality systems; and specialty electronic products.
About Thomas H. Lee Partners, L.P.
Thomas H. Lee Partners, L.P. is a Boston-based private equity firm focused on identifying and acquiring substantial ownership positions in growth companies. Founded in 1974, Thomas H. Lee Partners currently manages approximately $14 billion of committed capital, including its most recent fund, the $6.1 billion Thomas H. Lee Equity Fund V. Notable transactions sponsored by the firm include: American Media, AXIS Capital Holdings Limited, Cott Corporation, Endurance Specialty Insurance, Experian, Eye Care Centers of America, FisherScientific International, Houghton Mifflin, Michael Foods, National Waterworks, Rayovac, Simmons Company, TransWestern Publishing, United Industries, Vertis and Warner Music Group.
*As used herein, the term “Nortek Holdings” refers to Nortek Holdings, Inc., together with its subsidiaries, unless the context indicates otherwise. This term is used for convenience only and is not intended as a precise description of any of the separate corporations, each of which manages its own affairs.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on Nortek Holdings’ current plans and expectations and involve risks and uncertainties that could cause actual future activities and results of operations to be materially different from those set forth in the forward-looking statements. Important factors impacting such forward-looking statements include the availability and cost of raw materials and purchased components, the level of construction and remodeling activity, changes in general economic conditions, the rate of sales growth, and product liability claims. Nortek Holdings undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise. For further information, please re fer to the reports and filings of Nortek Holdings with the Securities and Exchange Commission.
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