Llinois Tool Works To Sell Industrial Packaging Unit To Carlyle For $3.2 Bln

(RTTNews) - llinois Tool Works Inc. (ITW) said Thursday that it has agreed to sell its Industrial Packaging Segment to The Carlyle Group (CG) for $3.2 billion.

The deal is expected to close by mid-year.

"We are pleased to announce the sale of the Industrial Packaging segment as this represents the last major step in refocusing our portfolio in conjunction with our Enterprise Strategy," said Scott Santi, ITW president and chief executive officer.

As previously announced, proceeds from the sale will be used to partially fund the company's plan to repurchase about 50 million shares by the end of 2014 in order to offset the EPS dilution associated with the divestiture. As of the end of 2013, the company had repurchased about 14 million shares in conjunction with that plan.