The 2020 Mid-Year Economic Update_long

Houston Wire & Cable Completes Sale of Southern Wire

Company unloads Mississippi-based distributor for $20 million in order to reduce debt.
Houston Wire & Cable sells Southern Wire division

Houston Wire & Cable Co. (Nasdaq: HWCC), Houston, Texas, on Thursday announced that it has completed the sale of its Southern Wire business, an Olive Branch, Mississippi-based wholesale distributor of wire rope and rigging products, to Southern Rigging Companies for $20 million.

The sale closed on Dec. 31, 2020, and HWCC used the net proceeds of approximately $18.1 million to reduce debt.

“We are excited we were able to complete the Southern Wire sale in 2020 and I am pleased to report that the sale of this division, together with our prudent management of working capital and expense reduction initiatives, has allowed us to reduce our debt to $28.8 million at year end, down 70% from the peak in 2020,” said James L. Pokluda III, HWCC President & CEO. “In addition, we were able to achieve this debt reduction while maintaining our outstanding customer service.”

Click here to read MDM’s original report on this deal.

Related Posts

About the Author
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

By subscribing, you are agreeing to MDM’s Privacy Policy.

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.