Fastenal to acquire Mansco
Fastenal Company has signed an agreement to acquire assets of industrial and fastener supply distributor Manufacturer's Supply Company (Mansco).
The company is headquartered in Hudsonville, Michigan and has additional facilities in Madison, Alabama, and McAllen, Texas. The agreement includes several conditions to close, and is expected to close by the end of March.
"From our first discussions, we were impressed with the Mansco team," said Dan Florness, president and CEO of Fastenal. "It has built a successful business in a challenging fastener distribution market through a focus on customers and a ‘can-do' approach. This speaks to the company's ability to execute and illustrates how well Mansco will fit with our own "growth through customer service" culture. We look forward to welcoming Mansco to the Fastenal family. Our complimentary capabilities make both businesses stronger."
"I am extremely pleased about the opportunity for the business and our employees to move forward with Fastenal," added Jim Mol, president and owner of Mansco. "Fastenal brings an enormous supply capability and cost saving technologies to our customers. This combination will help us grow and better serve our customers, while maintaining the excellent quality and service our customers have come to expect."
Mol has operated the business for the past 25 years. The company focuses on fastener products, with a particularly strong market position with commercial furniture OEMs. As such, this acquisition gives Fastenal a presence in a market where it has not meaningfully contributed in the past, while providing Mansco with additional tools with which to service its customer base.
Mansco generated approximately $50 million of revenue in 2016, largely from its flagship Michigan location although recent successes with its customers are generating more sales related to its two other facilities. The company is profitable and the transaction should be accretive in the first twelve months, though it should not be material to earnings per share.