Wajax Corp. has acquired the assets of Harper Power Products for CA $21.6 million (about U.S. $22.5 million), subject to post-closing adjustments, the company said.
Harper, authorized Ontario distributor for Detroit Diesel, Mercedes-Benz, MTU and Deutz engines, had adjusted annual sales of about CA $71 million in 2010. Wajax Power Systems is currently the authorized distributor of these lines in the rest of Canada except for portions of British Columbia. Wajax will take over operation of Harperâ€™s 10 Ontario branches, located in Toronto, Ottawa, Hamilton, London, Sudbury, Timmins, Kingston, Cornwall, Niagara Falls and Pembroke, and the business will be rebranded as Wajax Power Systems.
The business and assets of Harper Truck Centers, a separately operated on-highway truck dealer in the Toronto area, and Harperâ€™s Thomas Built Bus were not included in the transaction.
â€śThis is a very significant acquisition for Wajax Power Systems,â€ť said Neil Manning, president and CEO of Wajax Corp. â€śThrough Harperâ€™s established business, we are gaining a significant presence in the Ontario market where we previously had limited coverage. It also represents a major step towards attainment of the divisionâ€™s strategic objective to become a national total power systems solutions provider.â€ť
Wajax Corp. is No. 41 on the new RER 100.