Grill Maker Weber to Go Private and Get $350M Loan

Grill maker Weber is to go private with its planned acquisition by BDT Capital Partners.

Subject to customary conditions, the 70-year-old company is being acquired for $8.05 per share — implying a $3.7 billion total enterprise value. Weber is also receiving a $350 million unsecured loan facility that the firm will use to pay existing debts, invest in capital expenditures and fund working capital, the companies said in a Monday (Dec. 12) press release.

“With [BDT’s] continued support, our global team will move forward in executing our long-term strategy with consumers and customers as our top priority,” interim Weber CEO Alan Matula said in the release. “And we’ll continue to sharpen our focus on doing what we do best; delivering the outdoor cooking industry’s most innovative, best-performing, highest-quality products and engaging millions worldwide who love to gather together and cook outside.”

The move comes about four months after Weber reported a 21% drop in sales and said it planned a 10% reduction of its global workforce as part of a larger cost-management strategy.

Matula, who became interim CEO in July, said at the time that the outdoor cooking sector was contracting in the near term and that the Russia-Ukraine war, supply chain issues and inflation continued to impede consumer spending.

With the acquisition and the connected unsecured loan facility, Weber will continue new product initiatives and prepare for the 2023 outdoor cooking season, according to the Monday press release.

“Weber is the No. 1 brand and global category leader in outdoor cooking, and it has demonstrated a relentless commitment to quality and innovation over its 70-year history,” BDT Partner and Weber Non-Executive Chair of the Board Kelly Rainko said in the release. “We look forward to continuing our partnership with the company and the founding Stephen family in its next chapter.”

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