Knoll and Herman Miller to Combine in $1.8 Billion Transaction, Creating a Preeminent Leader in Modern Design

April 21, 2021

Willkie represented BofA Securities, which served as financial advisor to Knoll, Inc., in the transaction.

On April 19, Herman Miller, Inc. (NASDAQ: MLHR) and Knoll Inc. (NYSE: KNL) announced that they have entered into a definitive agreement under which Herman Miller will acquire Knoll in a cash and stock transaction valued at $1.8 billion.

Under the terms of the agreement, Knoll shareholders will receive $11.00 in cash and 0.32 shares of Herman Miller common stock for each share of Knoll common stock they own. Upon completion of the transaction, Herman Miller shareholders will own approximately 78% of the combined company and Knoll shareholders will own approximately 22%.

In connection with the closing of the transaction, Herman Miller will purchase all of the outstanding shares of Knoll’s preferred stock from Investindustrial VII L.P. (“Investindustrial”) for a fixed cash consideration of $253 million, representing an equivalent price of $25.06 for each underlying share of Knoll common stock.

Herman Miller and Knoll collectively have 19 leading brands, presence across over 100 countries worldwide, a global dealer network, 64 showrooms globally, more than 50 physical retail locations and global multi-channel eCommerce capabilities. The combined company will have pro forma annual revenue of approximately $3.6 billion and pro forma adjusted EBITDA of approximately $552 million, based on each company’s respective last reported 12 months and including the anticipated $100 million of cost synergies, implying adjusted EBITDA margins of approximately 16%.

Knoll, Inc. is a constellation of design-driven brands and people, with an internationally recognized portfolio which includes furniture, textiles, leathers, accessories, and architectural and acoustical elements. Brands include Knoll Office, KnollStudio, KnollTextiles, KnollExtra, Spinneybeck | FilzFelt, Edelman Leather, HOLLY HUNT, DatesWeiser, Muuto, and Fully.

Herman Miller is a globally recognized leader in design. Since its inception in 1905, the company has provided innovative, problem-solving designs and furnishings to people wherever they live, work, learn, heal, and play.

Willkie represented BofA Securities, who served as financial advisor to Knoll, Inc., in the transaction. The Willkie team was led by partners Steven Seidman and Laura Delanoy, and included associate Ian Morganelli and law clerk Joshua Mathew.