It’s officially official, Ideal Industries has gone through with the purchase of SK Tools.  The sale is expected to finalize on Wednesday, with Doug Spitler tapped to head the new company.  Doug is currently managing IDEAL’s Retail and Industrial Divisions so he should be a good fit to run the new company.  SK has said that they are dedicated to keeping SK Tools made in the US, however they haven’t decided if that will be at a brand new facility, the current SK facility, or a current Ideal facility.  They expect to release a manufacturing plan in about a month.  No word on existing warranty issues, however it sounds like Ideal will probably honor them in some fashion.

Source: Ideal

Ideal Industries has agreed to buy the bankrupt SK Hand Tools for $3.25 million according to the bankruptcy filing that was submitted to the northern Illionis Bankruptcy court.  According to the filing SK Hand Tools will go up for auction as soon as July 26th, and if no other higher offers are received it will be sold to Ideal.  Ideal has recently been buying up a few other smaller tool companies, and seems to leave them generally intact, so that is likely to be the case if their purchase of SK goes through.  SK currently has more than $10 million in debt, with at least $9 million being owed to Webster Business Credit.  They also have more than $10 million in assets.

Source: Bloomberg