MYERS INDUSTRIES PURCHASES ITML
January 21, 2008 By Greenhouse Canada
“The combined strengths of ITML and the Myers brands create a well-positioned brand family to take on changing dynamics in the grower industry and evolving customer needs for innovative, value-added products,” said ITML president Ed Hensen.
Diversified international manufacturer and distributor Myers Industries Inc. (NYSE: MYE) has reached a definitive agreement to acquire ITML Horticultural Products Inc.®
ITML, a private company based in Ontario, is a leader in the design, manufacturing and marketing of plastic containers and related products for professional floriculture/horticulture grower markets across North America. The acquisition, which is expected to close early this year, is subject to the customary conditions of closing. Terms of the transaction have not been disclosed at this time, but Myers expects to host a conference call after closing to discuss details with the investment community.
Myers Industries president and CEO John C. Orr described the acquisition as being “consistent with our strategic business evolution process to grow our key business segments with accretive transactions that strengthen our brand portfolio, provide value-added capabilities and deepen relationships with our customers. The combination of ITML and our Lawn and Garden Segment represents a significant opportunity given the complementary nature of the product lines, manufacturing capabilities, sales channels and strategic geographies.”
This transaction will increase Myers’ grower and distributor market share in Canada and in the southern and western U.S., boosting the company’s presence across key floriculture/horticulture regions of North America.
“As we phase in synergy initiatives that we have identified,” said Orr, “we expect both our customers and ourselves to benefit from greater new product development, superior service and enhanced growth opportunities.”
ITML holds a strong position in the grower and grower distribution channels throughout North America. The company produces a wide range of containers, hanging baskets, trays, flats, and specialty products marketed under well-known brand names such as Kord®, Euro Systems® and TLC®. The company has six facilities located in Canada and the U.S., utilizing injection molding, blow molding and thermoforming processes. ITML will be integrated into Myers Industries’ Lawn and Garden Segment and will operate as a strategic business unit within the segment.
“ITML has an impressive track record of growth built upon innovation, technology, cost control and a customer-driven culture,” said ITML president Ed Hensen. “The combined strengths of ITML and the Myers brands create a well-positioned brand family to take on changing dynamics in the grower industry and evolving customer needs for innovative, value-added products.”
Led by a powerful brand group including Dillen Products®, Pro Cal® and Listo Products™, Myers Industries’ Lawn and Garden Segment designs, manufactures and markets industry-leading containers, hanging baskets, trays, nursery pots and decorative resin planters for grower, distributor and niche retail sales channels. The segment accounted for $170.4 million of Myers Industries’ total net sales in 2005.
Myers Industries Inc. is an international manufacturer of polymer products for industrial, agricultural, automotive, commercial and consumer markets. The company is also the largest wholesale distributor of tools, equipment and supplies for the tire, wheel and under-vehicle service industry in the U.S. Myers Industries had record net sales of $903.7 million in 2005.
• www.itml.com • www.myersind.com
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