In separate transactions, Platinum Equity also agreed to buy a pet accessory supplier and a bakery goods business in Europe.
In the Salt Lake City-based Orbit sale, Platinum agreed to sell the irrigation company to the Gardena division of Swiss-based Husqvarna Group.
Details on the transaction, which is expected to close before year-end, were not disclosed.
Orbit has roughly 300 employees and generates more than 95% of its revenues in North America. The Orbit product offering includes watering equipment sold through retail garden centers, ecommerce and professional channels. Platinum Equity acquired Orbit in February 2019.
The sale is the culmination of a transformation program under Platinum Equity’s ownership that prioritized investing in Orbit’s smart watering technology, diversifying its product portfolio and implementing operational improvement initiatives throughout the organization.
As a result, Orbit’s revenue increased 75%, and the company doubled its pro forma adjusted earnings before interest, taxes, depreciation and amortization in less than three years.
In addition to investing in the company’s core products, Platinum Equity also helped establish a pipeline for mergers and acquisitions for Orbit.
In June 2020, Orbit acquired Bond Manufacturing, a manufacturer and distributor of irrigation and garden products, including hose and watering devices.
Platinum Equity has been on a spate of business acquisitions recently. On Oct. 25, Platinum Equity acquired Cosmic Pet, a Wichita, Kan.-based maker of pet products, including toys, collars, leashes, bowls and other accessories.
Financial terms of the transaction were not disclosed. Cosmic Pet will be combined with Platinum Equity’s portfolio company Petmate, which the private equity firm bought two months ago.
Platinum Equity expects to consolidate the fragmented pet industry with more acquisitions, said Managing Director Adam Cooper.