Bufab Agrees to Acquire Components Solutions Group
2021-10-13
Bufab Agrees to Acquire Components Solutions Group
Bufab has entered into an agreement to acquire all outstanding shares in the USA company, Components Solutions Group, Inc. (CSG), with annual sales of approximately US$30 million.
CSG is a leading distributor of fasteners and other C-class components in the North American market and is headquartered in Dayton, OH, USA. CSG also owns three subsidiaries-two located in Ohio and one in Kentucky. CSG was founded in 2000, and has been mainly owned and run by its current President, Ernie Riling and his colleagues and minority owners Matt Coy, Ken DeCrane, Thomas Girgash and Rick Clark. Under their leadership, CSG has expanded to a strong regional technically oriented supply chain partner with customers across many industries. CSG has currently 85 employees and net sales of approximately US$30 Million with a 10% operating profit.
"It gives me great pleasure to announce that CSG is joining the Bufab Group. Over many meetings in the past years, we have gotten to know the company well, and see great similarities to Bufab in the solution-oriented, entrepreneurial approach to creating customer value," says Johan Lindqvist, Bufab`s acting President/CEO. [We are confident that CSG will continue to grow and thrive as a member of the Bufab Group." The acquisition will be financed within Bufab`s existing credit facilities. Purchase price paid at closing of the transaction amounts to US$26 million on a cash and debt-free basis. A performance-related purchase consideration of a maximum of US$10 million may be paid in 2023-2024, conditional on a significantly improved profit.
