United Stationers (NASDAQ: USTR), Deerfield, IL, has agreed to acquire MEDCO, a U.S. wholesaler of automotive aftermarket tools and supplies, and its affiliates including G2S Equipment de Fabrication et d’Entretien ULC, a Canadian wholesaler, for $130 million.
“MEDCO and G2S advance a key pillar of our strategy, diversifying into higher growth and margin channels and categories,” said P. Cody Phipps, United Stationers’ president and CEO. “Both are leaders in the growing automotive aftermarket and will expand our reseller customer base. Additionally, these businesses complement our existing industrial platform with their deep product knowledge and exceptional customer service.”
Headquartered in Philadelphia, PA, MEDCO is North America's largest combined paint, body, equipment and tool wholesaler in the automotive aftermarket. With more than 50,000 products from more than 350 manufacturers, MEDCO serves traditional distributors, retailers and mobile tool dealers through nine distribution centers across the U.S.
G2S, through three distribution centers, provides similar products to automotive aftermarket and industrial distributors and mobile tool dealers in Canada. Together, MEDCO and G2S annual sales are approximately $240 million.