Expanding its offering of fasteners in the OEM market, Anixter International Inc. plans to buy U.K.-based Infast Group Plc in a deal it said was worth $72.2 million.
The offer has been unanimously recommended by the Infast board of directors, Anixter said.
Infast distributes fasteners and other inventory components to original equipment manufacturers. The company, which has about 900 employees, operates 25 distribution centers in the United Kingdom and six distribution centers in the United States.
Robert W. Grubbs, president and CEO of Anixter International, said, “The addition of the Infast operations to our existing OEM supply business is another significant step in positioning ourselves as a leader in the supply of fasteners and other small parts to original equipment manufacturers, service organizations and government support operations.
“The Infast customer base adds to and complements the existing base of multi-location and multi-national customers we service today. Once this transaction is complete, we will have proforma annual 2005 projected sales in this market of approximately $755 million.”
Anixter has bought three fasteners distributors in the past three years. In September 2002, Anixter acquired the assets and operations of U.S.-based Pentacon Inc., and in September 2003 it acquired the shares of U.K.-based Walters Hexagon Group Ltd. In June 2004, the company acquired the assets and operations of U.S.-based Distribution Dynamics Inc. Anixter recently combined these acquisitions, and they now operate under the Anixter Fasteners brand name.
Anixter said it has received commitments to accept the offer from shareholders representing about 58.7 percent of the 114.34 million outstanding Infast shares.