Hillman Is Said to Reach Deal With Tilman Fertitta’s Landcadia SPAC

(Bloomberg) -- Construction hardware supplier Hillman Group Inc. has struck a $2.64 billion deal to merge with Landcadia Holdings III Inc., a blank-check firm led by billionaire and Houston Rockets owner Tilman Fertitta and Jefferies Financial Group Inc., according to people with knowledge of the matter.

Investors led by Wells Capital Management and a fund managed by Columbia Threadneedle Investments will contribute $375 million in equity to support the transaction, the people said asking not to be identified because the matter is private. Bloomberg News previously reported that the parties were in talks.

The companies could announce a deal as early as Monday.

Cincinnati-based Hillman makes fasteners and other home improvement products. It has relationships with more than 38,000 companies, including Lowe’s Cos. and Home Depot Inc., its website shows. Private equity firm CCMP bought the company in 2014 from another private equity firm for $1.5 billion, according to a statement at the time.

CCMP will remain the largest holder in the company, the people added.

Landcadia Holdings III Inc. raised $500 million last year to pursue a transaction in any industry. Fertitta is the SPAC’s chief executive officer and Jefferies CEO Rich Handler is president, with both men serving as co-chairmen. Jefferies is a co-sponsor of the SPAC.

Fertitta, who has been involved in two other Landcadia SPACs, is in talks to take his casino and restaurant empire public through a merger with Fast Acquisition Corp., Bloomberg News has reported.

Representatives for Hillman, the SPAC, CCMP and Fertitta declined to comment.

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