Transaction Delivers Immediate Value to Shareholders and Takes Industrial Equipment Maker Private
Hillenbrand, Inc. (NYSE: HI) announced it has entered into a definitive agreement to be acquired by an affiliate of Lone Star Funds in an all-cash transaction valued at $32.00 per share, representing an enterprise value of approximately $3.8 billion. The offer price reflects a significant premium to Hillenbrand’s recent trading levels and will provide immediate liquidity to shareholders.
Upon completion, expected by the end of the first quarter of 2026, Hillenbrand will become a privately held company and its shares will cease trading on the New York Stock Exchange. The transaction remains subject to customary closing conditions, including shareholder and regulatory approvals.
Hillenbrand is a global industrial company that designs and manufactures highly engineered processing equipment and solutions through its Advanced Process Solutions and Molding Technology Solutions segments. Over the past three years, the company has transformed its portfolio through acquisitions and divestitures, building a stronger position in the durable plastics, food, and recycling end markets.
“We are pleased to reach this agreement with Lone Star, which delivers immediate and certain cash value to our shareholders at a substantial premium to recent trading,” said Helen Cornell, Chairperson of Hillenbrand’s Board of Directors. “The Board carefully reviewed a range of potential strategic alternatives, including interest from multiple parties, and determined this transaction is in the best interest of Hillenbrand and its shareholders.”
Kim Ryan, President and CEO of Hillenbrand, added, “Over the past several years, we have made tremendous progress transforming into a pure-play industrial company and investing in innovation. Lone Star recognizes this progress and sees a bright future given our strong teams and leading businesses. We look forward to working with Lone Star to enhance our scale and continue driving growth and innovation.”
Lone Star Funds, a Dallas-based private investment firm with over $95 billion in capital commitments across 25 private equity funds since 1995, focuses on complex transactions across private equity, credit, and real estate. The firm cited Hillenbrand’s successful transformation and diversified market presence as key drivers of the acquisition.
The deal follows Hillenbrand’s recent portfolio streamlining efforts, including the sale of its majority interest in the Milacron injection molding and extrusion business to Bain Capital for $287 million and the divestiture of its minority stake in TerraSource Holdings to Astec Industries for approximately $245 million.
Following the transaction, Hillenbrand will continue operating under its existing structure, guided by its purpose to Shape What Matters For Tomorrow™, while leveraging Lone Star’s financial and operational support to expand within high-growth industrial markets.