WASHINGTON (dpa-AFX) - Global investment firm Kohlberg Kravis Roberts & Co. L.P. (KKR) agreed Monday to acquire commercial landscaper Brickman Group Ltd. LLC from Leonard Green & Partners L.P. in a deal valued at $1.6 billion. The deal, which is expected to close by the end of 2013, is subject to customary closing conditions.
'We are very pleased to partner with KKR, a leading investment firm with extensive experience in service businesses and an outstanding track record. With our partner, we are well positioned to accelerate our growth, further enhance the quality of services we provide to our clients and extend our industry leadership,' Brickman CEO Andrew Kerin said in a statement.
This is for the second time in six years that the company is changing hands from one private equity owner to another. Leonard Green & Partners acquired Brickman Group for about $847 million from private equity company CIVC Partners L.P. in 2007.
KKR is currently acquiring Brickman through KKR North American Fund XI and other funds and accounts managed by KKR.
Founded in 1939, Gaithersburg, Maryland-based Brickman provides landscape maintenance and snow removal services to customers in the U.S. The company, formerly known as Theodore Brickman Landscaping Co., serves over 10.000 clients through its 160 branches in 29 states.
Simon Brown, Member of KKR, said 'Brickman is a leader in its industry, with an outstanding management team, a distinguished culture, talented and committed employees, and a track record of delivering high-quality services to its clients. We are excited to invest in the company and look forward to working closely with the Brickman leadership team to continue to build on the Company's market-leading position and grow the business over time.'
In a similar deal, KKR agreed to acquire privately-held automotive claims services provider Mitchell International, Inc. in September from another buyout firm Aurora Capital Group in a deal reportedly valued in excess of $1 billion.
Los Angeles, California-based Aurora Capital had acquired Mitchell International in 2007 from another private equity firm Hellman & Friedman LLC for about $500 million.
Before that, Hellman & Friedman had bought Mitchell International for $240 million in 2000 from Thomson Corp., which owned the company for 14 years from 1986 to 2000.
In Monday's regular trading session, KKR is currently trading at $22.99, up $0.36 or 1.54% on a volume of 0.42 million shares.
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