When one compares Electrical Wholesaling's 2002 Top 250 listing with the Top 250 listing compiled in 1992, the pace of consolidation becomes quickly apparent — at least 52 companies from the 1992 listing have been acquired or merged with other companies.
While consolidation has slowed in the last year, as you can see in the chart on this page, it's still reshaping the electrical wholesaling industry. In less than two years, at least 40 companies have been acquired. Many of these companies were 250 Biggest distributors, and most were acquired by the U.S. or North American subsidiaries of Hagemeyer NV, Naarden, Netherlands; Rexel SA, Paris; and Sonepar SA, Paris.
While no market areas are untouched by consolidation, some felt it more than others. During the past year, the Southern California market has seen some big acquisitions, led by San Diego-based OneSource Distributor Inc.'s acquisitions of Argo Electric Supply Co., Downey, Calif.; Orange Coast Electric Supply Co. Inc., Irvine, Calif.; and Pacific Parts and Controls Inc., Chino, Calif.
Since 1998, the Baltimore-Washington metropolitan area has seen the acquisitions of the Branch Group, Upper Marlboro, Md.; Capital Lighting and Supply, Alexandria, Va.; Commerce Electric Supply, Linthicum, Md.; Lee Electric Inc., Baltimore; and Tristate Electrical and Electronics Inc., Hagerstown, Md.
The Minneapolis market has a new look, too, with the purchase of Viking Electric Supply Inc., St. Paul, Minn., by Sonepar. Additionally, Northland Electric Supply, Minneapolis, has been acquired in a joint venture by Van Meter Industrial, Cedar Rapids, Iowa, and Werner Electric Supply, Neenah, Wis. Interestingly, Werner had planned on acquiring Van Meter as well as Northland last year but left a provision in the letter of intent allowing for poor economic conditions. So, instead Werner and Van Meter are 50 percent owners of Northland.