Lawson Products sells Assembly Component Systems
Lawson Products announced the sale of its Assembly Component Systems Inc. subsidiary to Supply Technologies LLC, a wholly owned company of Park-Ohio Holdings Corp.
The sale price is $19.0 million, consisting of $16.0 million of cash and a $3.0 million promissory note, plus the assumption of certain liabilities.
ACS is a provider of supply chain management solutions for a broad range of production components through its network of service centers throughout North America. In connection with the above transaction, Supply Technologies and Lawson Products have entered into a strategic alliance to collaborate on common interests relative to certain MRO products in a variety of industries.
"This divestiture will free up valuable resources for our company and generate cash for further investment in Lawson MRO, our most profitable business," said Lawson president and CEO Tom Neri. "We look forward to partnering with Supply Technologies in serving customers who value a combined OEM and MRO solution and the many cost and operating efficiencies it delivers."
Edward F. Crawford, chairman and CEO, added, "We are pleased to add to our Supply Technology business an outstanding leadership team and a new list of customers representing some of the elite manufacturers in North America. Annual revenues from this transaction will exceed $50 million per year and will be immediately accretive to Park-Ohio's earnings."
INDUSTRIAL SUPPLY MAGAZINE
The May/June issue of Industrial Supply magazine features an in-depth cover story about GHX Industrial. Plus, we're featuring articles by contributing writers Dr. Bharani Nagarathnam and Frank Hurtte, as well as interviews with numerous product and distribution industry experts.
