Briggs Stratton Engines May Buy Lawn Mower Maker

The Journal Sentinel reports that Briggs & Stratton Corp. may acquire bankrupt lawn mower maker Murray Inc.

Murray Inc. filed Chapter 11 bankruptcy in November and Briggs & Stratton Engines, the world’s largest small engine maker, wants to recover $40 million for engines it sold to Murray Inc. Murray makes riding mowers, snow blowers and go-karts.

An auction will take place Jan. 18 in Nashville, Tenn. Briggs & Stratton is guaranteed that its bid will stand unless a competitor beats their bid by $9 million, according to Thomas Savage, Briggs & Stratton executive VP. If that happens, Briggs & Stratton would receive $4 for acquisition expenses.

If Briggs & Stratton Engines does acquire Murray Inc., there is potential for tense relationships with Murray’s competitors because Briggs & Stratton also supplies engines to some of those companies. After the sale, their engine supplier, Briggs & Stratton, would become a competitor.