Wesco Aircraft Holdings, Inc. (“Wesco” or the “Company”) (NYSE: WAIR), a leading provider of comprehensive supply chain management services to the global aerospace industry, today announced that it has entered into an agreement to acquire Haas Group Inc. (“Haas”) for $550 million in cash, subject to certain closing adjustments, from certain investment funds affiliated with The Jordan Company, L.P.
With $573.5 million in 2012 revenues, Haas is a leading global provider of chemical supply chain management (“CSCM”) solutions to the commercial aerospace, airline, military, energy, and other markets. Haas is headquartered in West Chester, PA, with over 1,300 employees and 35 distribution hubs and forward stocking locations around the world.
Wesco’s strategic rationale for the acquisition includes:
- Acquisition of a leader in the large and growing area of CSCM, with an addressable market currently estimated at more than $2 billion
- Compelling customer value proposition, helping customers to reduce costs and comply with increasingly complex regulatory requirements for chemical usage
- Haas’ proprietary IT system (tcmIS) that interfaces directly with customer and supplier enterprise resource planning systems
- Significant expansion of Wesco’s customer base; many opportunities to increase sales by leveraging and cross–selling into each company’s respective base of customers
- Addition of more than 125,000 SKUs from over 5,000 suppliers
- Experienced senior management team with a proven record of success; business will continue to be led by the current CEO, Thad Fortin
Randy Snyder, Chairman and CEO of Wesco said, “We are very excited about this opportunity to bring Haas and its outstanding employees into the Wesco family. We believe that the acquisition of Haas will provide significant opportunities for Wesco to continue growing at above-market rates. The culture, capabilities, and scope of Haas’ global business are an ideal fit for the Company. The acquisition of Haas will add over 125,000 SKUs, value added supply chain management solutions and a world class group of over 1,300 employees to Wesco.”