CLEVELAND, OHIO (PRNewswire) – Hawk Corporation announced Friday that the company has completed the sale of its precision components segment to an entity formed by Saw Mill Capital Partners, L.P. and certain members of the segment’s management team for approximately $94.2 million consisting of $93.5 million in cash and the assumption by Saw Mill of $0.7 million in debt. The cash portion of the purchase price includes proceeds from a preliminary working capital adjustment which remains subject to further adjustment by the parties.
Hawk intends to use the proceeds of the transaction for growth opportunities in the Company’s friction products and performance racing segments either internally or through acquisitions, to retire debt and for general corporate purposes, including the possibility of a limited stock buy-back, the details of which will be subsequently announced if Hawk determines to pursue a stock buy-back.
The Clearfield Firemen’s Industrial Park is home to one of the precision units, Hawk Precision Components. An e-mail from GantDaily to Hawk Precision Components Group in Indiana has yet to be responded to.