Legend Brands acquires Prochem

Discussion in 'the CleAn Room' started by Mikey P, Jan 4, 2017.

By Mikey P on Jan 4, 2017 at 5:11 PM
  1. Mikey P
    Mikey P

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    Wow!

    How cool is that!

    Mike Roden returns..



    MEDINA, Ohio, Jan. 4, 2017 /PRNewswire/ -- RPM International Inc. (RPM) today announced that it has acquired two businesses, a manufacturer of commercial floor cleaning equipment and chemicals, and a manufacturer of specialty chemical raw materials. The companies have combined annual net sales of approximately $42 million. Terms of the transactions, which are expected to be accretive to earnings within one year, were not disclosed.

    RPM's Legend Brands business has acquired the Prochem business from the Kärcher North America Company, Inc. Prochem is a manufacturer of professional equipment and chemicals for cleaning and restoring carpet, upholstery and hard flooring surfaces. Based in Chandler, Arizona, Prochem has annual net sales of approximately $22 million.

    Prochem's equipment line includes truck-mounted and portable carpet, upholstery and hard surface cleaning machines, as well as a complete line of accessories. Prochem also manufactures professional-grade cleaning chemicals, including detergents, shampoos, spot and stain removers, and deodorizers. Its products are sold by distributors to professional cleaning contractors, primarily in North America.

    "We expect the addition of Prochem, which will be integrated into Legend Brands' current offering of professional cleaning products, to propel us into the leadership position in the professional cleaning market," stated Frank C. Sullivan, RPM chairman and chief executive officer. "There are a number of efficiencies to be gained by the combined businesses that we can leverage to the bottom line. Plus, we will be able to better serve customers as we now have cleaning chemical blending facilities on both the east and west coasts of the U.S."


    http://www.prnewswire.com/news-rele...annual-net-sales-of-42-million-300385734.html
    Last edited: Jan 4, 2017

Comments

Discussion in 'the CleAn Room' started by Mikey P, Jan 4, 2017.

    1. Desk Jockey
      Desk Jockey

      Rock Chalk

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      I only saw two of them in person and both were at my distributor over the years. He was cussing them and the design.
    2. Lee Stockwell
      Lee Stockwell

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      "Integrated into current lines"...

      ..."efficiencies...bottom line"

      Change is certain.
      Kevin De Medeiros likes this.
    3. Able 1
      Able 1

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      :cry: I hope they keep making the Prochem machines and leave them alone..
      Desk Jockey and Matt Wood like this.
    4. Ofer Kolton
      Ofer Kolton

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      I love myth as the doof next door, but I doubt it Lee. At the prices they are charging these days and considering their costs due to volume- there's decent money in manufacturing them.

      The "cry woolf" "wow is me" "I am loosing my pants" in manufacturing, is highly entertaining but inaccurate. There is money there Lee, there's money. And no it is not as simple as one thinks. Actually the thinking types know it ain't. It's the mechanically skilled cleaners that think they know better than anyone else.
      Kevin De Medeiros likes this.
    5. smart n kleen
      smart n kleen

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      Pictures please. PM them to me.
    6. Lee Stockwell
      Lee Stockwell

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      Then a lot of smart people needlessly took bankruptcy Ofer.
      rick imby likes this.
    7. Lee Stockwell
      Lee Stockwell

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      $22 million, about what 3 dozen ICS cleaners net in a year...
      rick imby likes this.
    8. Ofer Kolton
      Ofer Kolton

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      There's well run businesses and badly run businesses Lee.
      You know that. And many of the bankruptcy happened after the bubble burst and these businesses did not have the financial breathing room. In a cash intensive business, you need some cushioning to weather a bad turn in the economy.

      Using your logic Lee, there's no money in carpet cleaning either. Because so many carpet cleaners at the time went bankrupt as well.

      Is your source for no money in manufacturing come from these guys:


      Wecantaffordthedog.jpg
      Desk Jockey likes this.
    9. Bob Pruitt
      Bob Pruitt

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      The article says the 22 million is net sales. What would the net profit be then? Half that number? Less, probably much less considering the costs of a fixed location, various roles of employees, fabrication of materials...on and on.
    10. D Luke
      D Luke

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      All I know is most suppliers tell me there is no money in selling to cleaners........ as they spend weekends in there second or third vacation home.
    11. Desk Jockey
      Desk Jockey

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      Must be the janitors they sell to that they are raking it in on. :shifty:
    12. Bob Pruitt
      Bob Pruitt

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      So if I understand you... you're saying it's not the janitors that are raking it in? Maybe, just maybe it's the Restoration Contractors raking in the money?
    13. Lee Stockwell
      Lee Stockwell

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      I can count.
    14. Ofer Kolton
      Ofer Kolton

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      ookemall
      In restoration lingo Kansas style that means "ook them all."
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    15. Captain Morgan
      Captain Morgan

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      Didn't Sapphire buy Blueline and Vortex? Then proceeded to shutter both and offered their own line of machines? I'll admit my timing of events may be a little weak..but it's possible they might do something similar in cost cutting, minimizing duplication of products to streamline offerings etc. There's bound to be some big chances sooner or later.
    16. jcooper
      jcooper

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      How would that actually work? 35% is like 7-8 k!

      Gotta be some type of penalty or tax when it comes back to the us. Right?
    17. Lee Stockwell
      Lee Stockwell

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      Blueline bought Vortex. (What was Thom thinking?)

      Legends bought Blueline. (Mfg capacity and dealer network)
      Mikey P likes this.
    18. SamIam
      SamIam

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      What if Sapphire wanted to get its hands on some Prochems proprietary technology.

      Some old pTO stuff for the newer vans to have a product to compete with hydramaster?

      Or just felt like doubling sales and reinventing Prochems market share!
    19. Lee Stockwell
      Lee Stockwell

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      RPM called the shots.
    20. dealtimeman
      dealtimeman

      Everyday is Saturday.

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      Change will be slow, any and all big sellers will still be available.

      Low profit items will be combined or eliminated.
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