[STRATEGIC] Industrial Safety · Fire
& Rescue · Joint Venture —
March 19, 2026
3M and Bain Capital Form $1.95B Joint
Venture to Create a Global Fire and Safety Champion
A creative corporate-PE partnership: 3M combines its Scott
Safety breathing apparatus business with Madison Fire & Rescue's portfolio
of hydraulic rescue tools and fire suppression brands — building a scaled
platform for first responders and industrial workers worldwide.
DEAL SNAPSHOT
|
DEAL VALUE (MADISON F&R) $1.95 Billion |
STRUCTURE Corporate + PE Joint
Venture |
|
ANNOUNCED March 19, 2026 |
OWNERSHIP SPLIT 3M: 50.1% / Bain
Capital: 49.9% |
|
EXPECTED CLOSE H2 2026 |
3M CASH PROCEEDS $700M received at
closing |
THE PARTIES
|
ACQUIRER 3M (NYSE: MMM) + Bain
Capital 3M is a $40B+
revenue global industrial conglomerate focused on safety, health,
transportation, and electronics. Bain Capital is one of the world's leading
PE firms with $185B+ AUM. The two will create a new joint venture — to be led
by current Madison Safety & Flow CEO Kristofer Howard — combining their
complementary assets. |
TARGET Madison Fire & Rescue
(from Madison Industries) Indiana-based
manufacturer of premium fire and rescue technology. Portfolio includes
Holmatro (hydraulic & battery-powered rescue tools), Amkus (rescue
tools), Task Force Tips (high-performance fire hose nozzles), Waterax (mobile
water pumps), and Fire Fighting Systems. Over 700 employees across 8
manufacturing facilities in 5 countries. |
DEAL OVERVIEW
The transaction
has two components: first, 3M and Bain Capital jointly acquire Madison Fire
& Rescue from Chicago-based Madison Industries for $1.95 billion; second,
3M contributes its existing Scott Safety business (a provider of Self-Contained
Breathing Apparatus, or SCBA, systems) to the new joint venture and receives
$700 million in cash proceeds at closing.
3M originally
acquired Scott Safety in 2017 for approximately $2 billion. The contribution of
Scott Safety to the new venture — combined with the $700M cash receipt —
represents a creative structure where 3M effectively monetizes a large portion
of the prior acquisition price while retaining strategic exposure to the fire
safety market through its 50.1% stake.
"This strategic transaction broadens 3M's safety portfolio, one
of our priority verticals, by expanding our market reach and building scale for
future growth."
— Bill Brown,
Chairman & CEO, 3M
STRATEGIC RATIONALE
Fire and safety
is a high-margin, defensively positioned market: first responders and
industrial operators do not trade down on life-safety equipment. By combining
Scott Safety's SCBA solutions with Madison Fire & Rescue's complementary
hydraulic rescue tools and fire suppression brands, the new JV becomes a true
end-to-end platform for fire and emergency services globally.
For Bain Capital,
this is an opportunity to apply its industrial value creation playbook to a
well-established but fragmented market. The firm has a strong track record in
industrial services and manufacturing roll-ups. For Madison Industries
(seller), the divestiture continues a selling spree of non-core assets at
premium valuations.
ADVISORS
Buy-side
Legal (Bain Capital): Kirkland &
Ellis LLP (Chris Thomas, Chris Grady)
Management
/ JV CEO: Kristofer Howard (current
Madison Safety & Flow President & CEO)
No financial
advisors were publicly disclosed for either party.