Amid 737 MAX Woes, Stanley Black & Decker Buys Into Boeing's Supply Chain
Toolmaker Stanley Black & Decker (NYSE: SWK) is spending up to $1.5 billion to acquire privately held Consolidated Aerospace Manufacturing (CAM), diving headfirst into the aerospace supply chain at a time when the industry is reeling due to Boeing's 737 MAX issues.
The move is not without risk, given the current state of the MAX, but Stanley B&D has a history of making bold acquisitions work. The company was forged in 2010, just as the U.S. economy was recovering from the Great Recession, via the merger of Stanley Tool Works and Black & Decker.
Stanley B&D has added other tool brands in the years since, notably the storied Craftsman brand from Sears Holdings, but the company of late has turned its attention to new end markets. The company bought the Nelson industrial stud welding business for $440 million and the attachments business of International Equipment Solution for $690 million, but the CAM purchase is by far the biggest move in Stanley B&D's push into new areas.
Source Fool.com
