Hardwoods Distribution, through its subsidiary Rugby Holdings, announced the acquisition of Downes & Reader Hardwood Company on July, 17. Downes & Reader services both wholesale and retail customer segments, and runs four locations in the U.S. Northeast. Its annual sales are estimated to be $25 million.
Rob Brown, president and CEO of Hardwoods, said in a statement “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. 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.”
Hardwoods has completed six acquisitions in the last six years, and plans to “continue to pursue transactions that compliment our growth strategies,” according to Brown. In March 2017, it 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 acquired Rugby Architectural Building Products and its 28 distribution centers servicing 35 states. The firm currently operates 63 distribution centers across North America, and had $789 million in gross sales last year. It is based in British Columbia.
