MSC STRENGTHENS REGIONAL PRESENCE AND VALUE PROPOSITION THROUGH THE ACQUISITIONS OF APTEX AND PREMIER TOOL GRINDING
MSC Industrial Supply announced the acquisition of ApTex and Premier Tool Grinding to enhance its regional presence.
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Rhea-AI Summary
MSC Industrial Supply announced the acquisition of ApTex and Premier Tool Grinding to enhance its regional presence. Both companies had a combined revenue of over $20 million in 2023 and will keep operating under their current names as part of MSC. ApTex specializes in cutting tools and metalworking fluid distribution, while Premier Tool Grinding focuses on the design and manufacturing of carbide cutting tools. The acquisitions are expected to be net neutral to MSC's fiscal 2024 net income. MSC aims to leverage the technical expertise of both companies to expand its market share and service offerings.
Positive
- Acquired ApTex and Premier Tool Grinding with a combined revenue of over $20 million.
- Enhances MSC's market presence in Wisconsin and western U.S.
- Strengthens specialty tooling and regrinding service offerings.
- Expected to provide cost-saving solutions for customers.
Negative
- Acquisitions are expected to be net neutral to fiscal 2024 net income, implying no immediate financial gain.
Details
News Market Reaction – MSM
The recorded move for MSM in the trading session of this news was -0.93%.
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Under the purchase agreements, both companies will continue to operate under their current names as MSC companies. Combined, the two companies had estimated revenues of slightly over
ApTex, based in
Premier Tool Grinding designs, manufactures, reconditions, and coats carbide cutting tools. Located in
MSC President and Chief Executive Officer Erik Gershwind said, "We are thrilled to welcome ApTex and Premier Tool Grinding into the MSC family. ApTex will strengthen our position to gain share in the surrounding
Dean Meier, President of ApTex, said, "As we join the MSC family, we look forward to combining our technical expertise and solution-driven approach with MSC's expanded product offering to drive further cost savings for customers."
"Joining forces with MSC represents a significant milestone for us. It's an opportunity to leverage our innovative spirit and technical prowess on a larger scale. We are excited to contribute to MSC's legacy of excellence and to continue delivering unparalleled solutions to our customers," said Shaun Schilling, Co-Owner of Premier Tool Grinding.
About MSC Industrial Supply Co.
MSC Industrial Supply Co. (NYSE:MSM) is a leading North American distributor of a broad range of metalworking and maintenance, repair and operations (MRO) products and services. We help our customers drive greater productivity, profitability, and growth with approximately 2.4 million products, inventory management and other supply chain solutions, and deep expertise from more than 80 years of working with customers across industries. Our experienced team of more than 7,000 associates works with our customers to help drive results for their businesses - from keeping operations running efficiently today to continuously rethinking, retooling, and optimizing for a more productive tomorrow. For more information on MSC Industrial, please visit mscdirect.com.
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SOURCE MSC Industrial Supply Co.
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