PORTLAND, OR — Platinum Equity announced Oct. 18 that the acquisition of Oregon Tool has been completed. Oregon Tool is a global manufacturer and distributor of aftermarket-driven professional grade cutting tools, outdoor equipment accessories and parts. Financial terms were not disclosed.
Oregon Tool is the world’s No. 1 manufacturer of saw chain and guide bars for chainsaws, and a leading manufacturer of lawn mower blades, agricultural tractor attachments and a broad range of other products used by professionals and consumers in the forestry, lawn and garden, and agricultural end markets. Its products are sold into the aftermarket through multiple channels, including distributors, dealers, mass merchants and e-commerce, as well as to original equipment manufacturers for “first fit” use on new equipment. Since its founding in the 1940s, Oregon Tool has grown from a family business into a multinational organization.
“For nearly 75 years Oregon Tool has earned its reputation as a global leader in precision cutting tools through hard work, innovation and a commitment to the highest quality standards,” said Platinum Equity Partner Louis Samson. “We are excited to work with Paul Tonnesen and the company’s management team to invest in a new generation of growth and expansion.”
With more than 3,200 team members, Oregon Tool sells thousands of products in more than 110 countries under multiple professional and consumer brands like Oregon, Woods and ICS. Earlier this year, the company rebranded from Blount International to Oregon Tool, an effort that highlights its unique heritage and long history of innovation, while also marking an important inflection point in its evolution as an industry leader.
“Oregon Tool has outstanding leadership, a passionate culture and a strong commitment to serving its customers and the communities in which it operates,” said Platinum Equity Managing Director David Glatt. “Its global distribution network spans more than 110 countries and makes it an attractive platform for additional growth, both organically and through new acquisitions in adjacent product categories, segments, channels and geographies.”
Oregon Tool CEO Paul Tonnesen remains CEO and will continue to lead the company.
“We are excited to start the next chapter,” said Mr. Tonnesen. “Platinum’s investment and operational expertise can help accelerate our growth and innovation, strengthen our position as industry leaders, and continue equipping our pro and DIY customers with the products they need to get the job done.”
Latham & Watkins LLP acted as legal advisor to Platinum Equity on the acquisition of Oregon Tool.
Oregon Tool was founded by Joe Cox in 1947 as the Oregon Saw Chain Corp. Inspired by nature – a timber beetle larva to be exact – Cox studied the creature to better understand how to cut wood more efficiently for his forestry work in the Oregon wilderness. With his learnings, Cox pioneered a new saw chain in the basement of his Portland, Oregon home – a design he modelled after the larva’s alternating C-shape jaws. He called it the “Cox Chipper Chain.” Cox’s saw chain revolutionized the timber industry and remains widely used today around the globe.
Oregon Tool is a global, premium-branded, aftermarket-driven precision-cutting-tool powerhouse platform. The company’s portfolio of brands specializes in professional grade precision cutting tools for forestry, lawn and garden; farming, ranching and agriculture; and concrete cutting and finishing. Headquartered in Portland, Oregon, with a multinational manufacturing and distribution footprint, Oregon Tool sells its products in more than 110 countries under the Oregon, Woods, ICS, Pentruder, Merit, Carlton and SpeeCo brands. The company is the world’s No. 1 manufacturer of saw chain and guide bars for chainsaws and diamond saw chain for concrete and pipe, a leading manufacturer of agricultural tractor attachments, and the leading OEM supplier of first-fit and replacement parts.
Founded in 1995 by Tom Gores, Platinum Equity is a global investment firm with more than $25 billion of assets under management and a portfolio of approximately 50 operating companies that serve customers around the world. The firm is currently investing from Platinum Equity Capital Partners V, a $10 billion global buyout fund, and Platinum Equity Small Cap Fund, a $1.5 billion buyout fund focused on investment opportunities in the lower middle market. Platinum Equity specializes in mergers, acquisitions and operations – a trademarked strategy it calls M&A&O – acquiring and operating companies in a broad range of business markets, including manufacturing, distribution, transportation and logistics, equipment rental, metals services, media and entertainment, technology, telecommunications and other industries. Over the past 25 years Platinum Equity has completed more than 300 acquisitions.