Strategically Expanding Products and Services
in the Canadian Market
Distribution Solutions Group, Inc. (NASDAQ: DSGR) ("DSG" or
the "Company"), a premier specialty distribution company, today
announced that its operating company, Lawson Products, under its
affiliate Lawson Products Canada, Inc. (“Lawson Canada”), signed an
agreement to acquire Source Atlantic Limited (“Source Atlantic”).
The transaction is expected to close in the third quarter of 2024,
subject to regulatory approval and customary closing
conditions.
Source Atlantic, headquartered in Saint John, New Brunswick,
Canada, is an industry-leading wholesale distributor of industrial
MRO supplies, safety products, fasteners, and related value-add
services for the Canadian MRO market. For the most recent fiscal
year, Source Atlantic generated sales of approximately CAD$250
million.
Bryan King, Chairman and CEO of DSG, commented, “We’re thrilled
to partner with Source Atlantic to expand DSG’s operating footprint
in the Canadian market. We are honored to carry on the company’s
successful legacy of over 157 years, dating back to 1867, and to
continue its steady stewardship by the Irving family spanning 80
years. Combining Source Atlantic’s Eastern Canadian operation with
Bolt Supply’s Western presence positions us as a leading MRO player
in the Canadian market, further strengthening DSG’s North American
presence for our expanded value-added capabilities. We look forward
to leveraging the combined operations with the Source Atlantic team
and expanding our offerings to their well-established customer base
and leveraging their specialty services capabilities which
represents approximately one-fourth of their revenues.”
Cesar Lanuza, President & Chief Executive Officer of Lawson
Products, added, “We are excited by the product extensions and
geographic locations that Source Atlantic offers in Canadian
markets where we do not have much presence today. Similar to Bolt
Supply, a wholly-owned subsidiary of Lawson Canada specializing in
MRO solutions via branch locations, Source Atlantic offers products
and services that deliver world-class business solutions designed
to drive customer efficiency. This acquisition leverages the best
of both companies with significantly more scale, products, and
services. Along with our existing Lawson sales representatives in
Canada, we will offer a high-touch, specialty distribution platform
with the convenience of branch locations now spanning the breadth
of the Canadian market, providing a comprehensive, seamless
customer experience.”
Steve Drummond, President of Source Atlantic, commented, “We are
excited to join Distribution Solutions Group to provide
best-in-class service and offerings in the Canadian MRO market. We
are pleased DSG recognized the value of the platform we have built
with Source Atlantic and look forward to growing as a combined
company across Canada. Our employees, customers, and vendor
partners will all benefit from combining Source Atlantic with
DSG.”
The transaction will be funded through a combination of DSG’s
existing cash and availability under its credit facility and is
expected to be immediately accretive to DSG’s adjusted earnings per
share. The acquisition is not expected to be material for financial
reporting purposes to DSG’s results.
About Distribution Solutions Group,
Inc.
Distribution Solutions Group ("DSG") is a premier multi-platform
specialty distribution company providing high touch, value-added
distribution solutions to the maintenance, repair & operations
(MRO), the original equipment manufacturer (OEM) and the industrial
technologies markets. DSG was formed through the strategic
combination of Lawson Products, a leader in MRO distribution of
C-parts, Gexpro Services, a leading global supply chain services
provider to manufacturing customers, and TestEquity, a leader in
electronic test & measurement solutions.
Through its collective businesses, DSG is dedicated to helping
customers lower their total cost of operation by increasing
productivity and efficiency with the right products, expert
technical support, and fast, reliable delivery to be a one-stop
solution provider. DSG serves approximately 180,000 customers in
several diverse end markets supported by approximately 3,700
dedicated employees and strong vendor partnerships. DSG ships from
strategically located distribution and service centers to customers
in North America, Europe, Asia, South America and the Middle
East.
For more information on Distribution Solutions Group, please
visit www.distributionsolutionsgroup.com.
About Lawson Products Canada,
Inc.
Lawson Products Canada (Lawson Canada) working with the support
of Lawson Products, Inc. (Lawson) in the United States, is the
solution to all MRO needs in Western Canada. Since 1952, Lawson has
been helping make customers’ jobs easier by improving efficiency,
productivity, and overall performance. Lawson is dedicated to
helping customers in the U.S. and Canada lower their total cost of
operation by increasing productivity and efficiency. Lawson
provides customers with a seamless and personalized experience and
understands that different businesses have unique requirements and
offers a range of services tailored to meet the customer’s needs.
Lawson offers vendor-managed inventory services, online purchasing
and supports customers through a dedicated inside and outside sales
team shipping from several strategically located distribution
centers to customers in all 50 states, Puerto Rico, Canada, Mexico,
and the Caribbean.
About Source Atlantic Limited
Source Atlantic Limited is an innovative and industry-leading
wholesale distributor driven by delivering value and exceptional
service to customers in Canada. Source Atlantic partners with
hundreds of world-class suppliers, offers a multitude of
specialized and technical services and has many value-added
business solutions designed to improve customers' efficiency and
productivity. With over 500 employees, Source Atlantic has 24
locations across Canada with a heavy focus in Eastern Canada.
Forward-Looking Statements
This release contains certain "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, that involve risks and uncertainties. Terms such as "aim,"
"anticipate," "believe," "contemplates," "continues," "could,"
"ensure," "estimate," "expect," "forecasts," "if," "intend,"
"likely," "may," "might," "objective," "outlook," "plan,"
"positioned," "potential," "predict," "probable," "project,"
"shall," "should," "strategy," "will," "would," and variations of
them and other words and terms of similar meaning and expression
(and the negatives of such words and terms) are intended to
identify forward-looking statements. Forward-looking statements can
also be identified by the fact that they do not relate strictly to
historical or current facts. Such forward-looking statements are
based on current expectations and involve inherent risks,
uncertainties and assumptions, including factors that could delay,
divert or change any of them, and could cause actual outcomes to
differ materially from current expectations. DSG can give no
assurance that any goal or plan set forth in forward-looking
statements can be achieved and DSG cautions readers not to place
undue reliance on such statements, which speak only as of the date
made. DSG undertakes no obligation to release publicly any
revisions to forward-looking statements as a result of new
information, future events or otherwise. Actual results may differ
materially from those projected as a result of certain risks and
uncertainties. Certain risks associated with DSG's business are
also discussed from time to time in the reports DSG files with the
SEC, including DSG's Annual Report on Form 10-K, DSG's Quarterly
Reports on Form 10-Q and DSG's Current Reports on Form 8-K, which
should be reviewed carefully. In addition, the following factors,
among others, could cause actual outcomes and results to differ
materially from those discussed in the forward-looking statements:
(i) unanticipated difficulties, expenditures or any problems
arising in connection with or after the combination of the
businesses of Lawson Products, TestEquity and Gexpro Services (the
"merger"), which may result in DSG not operating as effectively and
efficiently as expected; (ii) the risk that stockholder litigation
in connection with the merger or any other acquisition or business
combination completed by DSG or any of its subsidiaries results in
significant costs of defense, indemnification and liability; and
(iii) the risks that DSG may encounter difficulties integrating the
business of DSG with the business of other companies that DSG has
acquired or may acquire or has otherwise combined with or may
otherwise combine with, that DSG may not achieve the anticipated
synergies contemplated with respect to any such business or
transactions and that certain assumptions with respect to such
business or transactions could prove to be inaccurate.
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version on businesswire.com: https://www.businesswire.com/news/home/20240710008968/en/
Company: Distribution Solutions Group, Inc. Ronald J.
Knutson Executive Vice President, Chief Financial Officer and
Treasurer 1-888-611-9888
Investor Relations: Three Part Advisors, LLC Steven
Hooser / Sandy Martin 214-872-2710 / 214-616-2207
Distribution Solutions (NASDAQ:DSGR)
과거 데이터 주식 차트
부터 10월(10) 2024 으로 11월(11) 2024
Distribution Solutions (NASDAQ:DSGR)
과거 데이터 주식 차트
부터 11월(11) 2023 으로 11월(11) 2024
