Presumably, former Stanley Works
Frisco Bay, incorporated in Quebec, concentrates its efforts on two types of products: security systems (including cameras and card-controlled access systems) and systems used to automate transactions (such as ATMs). Banks, casinos, and insurance companies are among its customers. Most of the company's business comes, for the time being, from Canada.
Frisco has steadily grown revenue, operating income, and shareholders' equity in recent fiscal years. (Its current year ends this month -- the latest full-year information isn't yet available.) It managed $35 million in fiscal 2003 sales, and approximately $29 million through the first nine months of this fiscal year (numbers converted from Canadian dollars). In recent years, the company has improved gross margins, lowered operating costs, and generated free cash flow.
Frisco Bay will presumably be folded into Stanley's doors business segment, which includes access systems as well as commercial and residential doors. Stanley has relied on acquisitions to boost growth, as organic sales growth has been falling in recent periods. This deal won't reverse that trend, but it will give the company new customers and products -- as well as a strong position in the Canadian market.
Here's one angle potentially worth watching: Among Frisco Bay's pre-merger growth initiatives was the growth of its VIP video surveillance business in the U.S. through a partnership with Diebold
Talk about the potential impact of the Frisco Bay deal on our Stanley Works discussion board.
Dave Marino-Nachison can be reached at email@example.com.