MIAMI — Commercial laundry and drycleaning equipment distributor EnviroStar Inc. (EVI) has begun the process of acquiring a distributor whose identity was not revealed in the press release announcing the pending deal.
EVI reports it has executed a definitive merger agreement to acquire all of the outstanding shares of a “prominent distributor of laundry products and a provider of installation and maintenance services to the new and replacement markets of the vended and commercial laundry industry based in the Western United States,” using a combination of cash and EVI stock.
Michael Steiner, EVI executive vice president, tells American Coin-Op that the company was not identified because of confidential matters to be worked out prior to closing.
In the release, EVI says the addition of the business that serves more than 2,700 customers in varying end-market segments is consistent with its growth strategy. It expects the business will continue to operate as it has historically, under its existing leadership, using the same name, executing with the same people, and with the support of EVI and its existing and future business units.
“EVI is a growing group of successful entrepreneurs with a relentless passion and commitment to growth,” says Henry M. Nahmad, EVI chairman and CEO. “Our operating philosophy preserves the entrepreneurial spirit of acquired businesses and creates a culture that encourages the pursuit of long-term growth opportunities.
“This acquisition,” Nahmad continues, “adds more revenues, profits, and market share to our fast-growing business, but more importantly adds another successful entrepreneur and a team from which we expect significant growth in the future.”
The transaction is expected to close upon satisfaction of customary closing conditions. EVI expects the addition to be accretive to its fiscal year ending June 30, 2019.
In the last two years, EVI has acquired six other laundry equipment distributors and service providers, including Western State Design, Martin-Ray Laundry Systems, Tri-State Technical Services, Aadvantage Laundry Systems, Scott Equipment and Industrial Laundry Services.