US manufacturing conglomerate Honeywell International said Tuesday it was buying Singapore-based safety boot maker King's Safetywear for $338 million.
Honeywell said it had signed an agreement to buy King's, with the takeover offer representing about 11.5 times the company's estimated 2011 earnings before interest, taxes, depreciation and amortization.
King's produces safety helmets, goggles, and other personal protective gear used in manufacturing, mining and construction as well as the Otter, King's and Oliver brands of footwear.
The company, which employs about 1,500 employees across Southeast Asia, Australia and Europe, is expected to record $138 million in sales this year, Honeywell said.
King's is majority-owned by Navis Capital Partners, a Southeast Asian private equity firm.
The acquisition is Honeywell's third in the past three years in the safety gear sector. Honeywell bought Norcross Safety Products in 2008 and two years later acquired Sperian Protection.
"The addition of KSW (King's) further builds on our leadership position in the safety products segment worldwide by substantially enhancing our position within the safety footwear category," said Mark Levy, president and chief executive of Honeywell Life Safety.
The acquisition "should enable more opportunities for Honeywell in the higher growth Southeast Asia, Australia and Europe regions," he said.