Hillenbrand completes acquisition of FPM in $730 million deal

Global processing equipment provider Hillenbrand has completed the acquisition of the Schenck Process Food and Performance Materials business from Schenck Process Group in a deal valued at $730 million.

Schenck Process Group is a portfolio company of Blackstone.

Announced in May, the acquisition was completed Sept. 1 and adds complementary technology and processing expertise within Hillenbrand’s Advanced Process Solutions segment across markets including food, durable plastics and chemicals, according to a news release.

“The completion of the FPM acquisition further strengthens our leadership position across attractive, growing end markets of food, durable plastics and chemicals. This acquisition represents another step forward in the execution of our strategy to grow as a pure-play industrial company,” Kim Ryan, president and CEO of Hillenbrand, said in the release. “By combining the applications and systems processing expertise of FPM with our Advanced Process Solutions segment and deploying the Hillenbrand Operating Model, we are well-positioned to offer greater value to our customers and drive scale efficiencies. I am confident this transaction further positions us to deliver profitable growth and compelling long-term shareholder value.”

Headquartered in Kansas City, Missouri, FPM has more than 1,300 employees worldwide and sells to customers in 150-plus countries, with approximately 85% of revenues generated in North America. FPM specializes in the design, manufacturing and service of feeding, filtration, baking, and material handling technologies and systems.

Hillenbrand expects FPM to approximately $540 million in revenue in 2023, according to the release.

Hillenbrand’s APS segment focuses on engineered industrial processing solutions and aftermarket parts and service for a variety of markets and applications, including durable plastics, recycling and processed food.