Sold: Downes & Reader Hardwood Co.
Rugby Holdings LLC., a subsidiary of Langley, British Columbia-based Hardwoods Distribution Inc., purchased Downes & Reader Hardwood Company Inc. Downes & Reader is a distributor of hardwood lumber with four locations in the US Northeast and annual sales estimated at $25 million.
Downes & Reader services both the wholesale and retail customer segments.
Rugby Holdings LLC., a subsidiary of Langley, British Columbia-based Hardwoods Distribution Inc., purchased Downes & Reader Hardwood Company Inc. Downes & Reader is a distributor of hardwood lumber with four locations in the US Northeast and annual sales estimated at $25 million.
Downes & Reader services both the wholesale and retail customer segments.
The company says the acquisition will add more than 2,400 new customers and strengthen Rugby’s position overall, as a distributor of hardwood lumber products. As of Monday July 17, 2017 the Downes & Reader locations started operating as part of the Rugby brand.
“The U.S. Northeast is an attractive market with a population base of over 40 million people and we’re thrilled to have Downes & Reader, a highly respected hardwood lumber distributor in the region, join our team,” said Rob Brown, Hardwoods’ president and CEO. “This acquisition provides us with turnkey access to a comprehensive lumber products offering in the U.S. Northeast, brings us a significant number of new customers, and is immediately accretive to our shareholders. Our acquisition strategy has been successful now having completed six acquisitions in the last six years, and we will continue to pursue transactions that complement our growth strategies.”
In March 2017, Rugby acquired Eagle Plywood and Lumber of Dallas, Texas and consolidated it into the company's existing Rugby distribution facility in Dallas.
In June 2016, Hardwoods Distribution Inc. acquired Rugby Architectural Building Products with its 28 distribution centers servicing 35 states. With this acquisition Hardwoods formed the largest distributor network for decorative surfaces, hardwood lumber and related materials in North America.
As of July 2017, the company operates a North American network of 63 distribution centers, as well as one sawmill with kiln drying operation.
