CLEVELAND — Applied Industrial Technologies on Tuesday announced the acquisition of both Bearing Distributors Inc. and Cangro Industries Inc., providers of bearings, power transmission, industrial motion, and related service and repair capabilities.
Bearing Distributors is based in Columbia, South Carolina, while Cangro is based on Long Island, New York.
Terms of the transactions were not disclosed.
Neil Schrimsher, Applied's president and CEO, said:
“We welcome Bearing Distributors and Cangro to Applied’s U.S. Service Center network as we continue to bolster our local presence and provide our customers with leading technical support. We have meaningfully enhanced our service center operations in recent years through strategic process improvements, systems investments, and talent additions. At the same time, the long-term demand outlook in our core service center network has never been stronger, reflecting emerging secular tailwinds around reshoring, customer capex investments, and technical supply chain requirements, as well as share gain opportunities tied to our service capabilities and cross-selling potential. Both companies will immediately strengthen our position to fully leverage these tailwinds now and in the coming years.”
“With locations across the U.S. Southeast and Upper Northeast, the acquisitions will enhance our footprint and strategic growth initiatives within these important regions. This includes strengthening relationships with leading suppliers and increasing Applied’s local customer access, as well as accelerating our strategic penetration in key emerging market verticals. Under Applied, both organizations will benefit from expanded product lines, and access to our leading engineered solutions across our fluid power, flow control, and automation operations. Further, our approach will include a focus on operational excellence to maximize performance and strategic alignment. We look forward to seeing their capabilities augment our collective efforts and value proposition moving forward.”
Bearing Distributors operates with a team of more than 95 associates from 12 locations. Cangro operates with a team of more than 20 associates from two locations.
The companies serve customers primarily across core U.S. service center industries, including food and beverage, pulp and paper, chemical, pharmaceutical, automotive, and other industrial markets. Combined, the companies are expected to generate annual sales of approximately $50 million in the first year.