Berkshire Hathaway Inc. To Acquire 60% of
Perfection Clutch’s Parent Company
TIMMONSVILLE, SC -- Release Date - January 2, 2008 -- On December 25, 2007 Berkshire-Hathaway Chairman and CEO
Warren Buffett and Tom Pritzker, Chairman of Marmon Holdings
announced that Berkshire will purchase 60% of Marmon Holdings,
Inc. Perfection Clutch is one of the one hundred and twenty-five
companies held by Marmon Holdings, Inc.
The closing is anticipated to occur in the first quarter of
2008. The remaining 40% will be acquired through staged
acquisitions over a five to six year period for consideration to
be based on the future earnings of Marmon. The transaction
remains subject to customary closing conditions, including
regulatory approvals.
In commenting on the transaction, Warren Buffett noted: “Our
transaction was done just the way Jay (Pritzker) would have
liked it to be done – no consultants or studies. After meeting
with Messrs. Ptak and Nichols, they were just what I expected
from Marmon’s impressive record of growth and profitability over
the years, and the decision to purchase and work out the details
of this transaction was done without delay. I am pleased that
over the next five to six years, we will be partnering and
working with Tom Pritzker, John Nichols and Frank Ptak in
continuing to build Marmon.”
The management team at Perfection Clutch views this transaction
very positively. There will be no visible changes in the way
Perfection’s business is conducted. John Nichols, former Marmon
CEO stated it the best; “This is a transaction that works for
all stakeholders. It will allow Marmon to thrive under its
existing management team and continue implementing our
management philosophy. While we have a new shareholder, it is
clear that Berkshire Hathaway shares the values and approach
established by the Pritzkers over many decades”.
Perfection Clutch Company is a dominant supplier of New Clutch
Sets, New Flywheels, and ZOOM Performance Products to the USA
aftermarket. Perfection Clutch is a member of the Marmon Highway
Technologies Group of Companies and has been serving the
driveline industry since 1918.
