Standex International has signed a definitive agreement to sell its Refrigerated Solutions Group (RSG) to Ten Oaks Group for $11m in cash.
RSG manufactures refrigerated cabinets and walk-ins for customers food service and retail end market.
The segment’s NorLake and Master-Bilt brands are operated from facilities in New Albany, MS and Hudson, WI.
This comes after the news that RSG saw a $1m operating loss in fiscal year 2019, despite a $150m revenue intake.
The transaction is expected to close in the calendar second quarter of 2020 and is subject to customary closing conditions.
Standex president and CEO David Dunbar commented: “With today’s announced sale of RSG, we continue the simplification of our portfolio that began with the divestiture of the Cooking business in early 2019.
“This step enables us to focus more clearly on those of our businesses which have higher growth and margin profiles. These strategic businesses win in the marketplace by partnering with customers to solve their application needs with differentiated custom solutions.”
RSG is a manufacturer of walk-ins and refrigeration cabinets for the foodservice industry.