GMS Completes the Acquisition of AMES Taping Tools LLC, Acquires Kimco Supply Company in Florida and Opens a New Greenfield Location in Tennessee
December 01 2021 - 4:05PM
Business Wire
GMS Inc. (NYSE: GMS), a leading North American specialty
distributor of interior building products, today announced the
successful completion of its previously announced acquisition of
AMES Taping Tools LLC (”AMES”), the nation’s leading provider of
automatic taping and finishing (“ATF”) tools, and provided an
update on the continued execution of its growth strategy with the
acquisition of Kimco Supply Company (“Kimco”) and the recent
opening of a greenfield location in Northeastern Tennessee.
“We are pleased to announce the successful completion of the
AMES transaction as part of our strategy to grow our complementary
product offerings as well as the continued execution of our
strategic priority of platform expansion,” said John C. Turner,
Jr., President and Chief Executive Officer of GMS. “Supported by
our strong balance sheet and liquidity, we are continuing to drive
growth through platform expansion to diversify our product
offerings, while providing enhanced service to our customers.”
AMES Taping Tools LLC (“AMES”)
AMES pioneered the development of automatic taping and finishing
tool technology in the 1930s and today, with its TapeTech® brand,
is the leading supplier of ATF tools in the market. Through its
network of more than 85 stores, AMES sells products for residential
and commercial interior finishing applications and provides an
un-paralleled fleet of 100,000 ATF tools available for rent.
Trailing twelve-month sales for AMES was approximately $100
million.
GMS funded the $212.5 million purchase price with cash on hand
and borrowings under the Company’s ABL credit facility. In
connection with this transaction, the Company exercised the $100
million accordion within the Company’s ABL agreement, increasing
the ABL borrowing limit from $445 to $545 million.
Kimco Supply Company (“Kimco”)
Kimco is a highly-respected distributor of drywall and related
construction products and architectural elements with two locations
in the Greater Tampa and Central Florida markets. The addition of
Kimco represents a strategic opportunity to add density in the
Tampa-St. Petersburg-Clearwater market while adding an important
driver of growth for complementary products in that region.
Greenfield in Johnson City, TN
In September, GMS established a new greenfield location in
Johnson City, TN, expanding its presence and facilitating enhanced
service for customers of GMS subsidiary, Rocky Top Materials.
About GMS
Celebrating the 50th anniversary of its founding in 1971, GMS
operates a network of more than 280 distribution centers across the
United States and Canada. GMS’s extensive product offering of
wallboard, suspended ceilings, steel framing and complementary
construction products is designed to provide a comprehensive
one-stop-shop for our core customer, the interior contractor who
installs these products in commercial and residential buildings. In
addition, through its newly acquired AMES Taping Tools business,
GMS operates more than 85 retail locations servicing professionals
in the interior finishing market.
For more information about GMS, please visit www.gms.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20211201005876/en/
Carey Phelps Vice President, Investor Relations Phone:
770-723-3369 Email: ir@gms.com
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