Expands Tennant’s product portfolio and market coverage in China;
Businesses highly complementary and differentiated
MINNEAPOLIS--(BUSINESS WIRE)--
Tennant Company (NYSE: TNC), a world leader in designing, manufacturing
and marketing solutions that help create a cleaner, safer world, today
announced that it has signed a definitive agreement to acquire Gaomei
Cleaning Equipment Company, a privately held designer and manufacturer
of commercial cleaning solutions based in China.
Gaomei, a family-run business, offers a range of cleaning machines and
equipment, including single disc scrubbing machines, vacuum cleaners,
carpet extractors, blowers, high-pressure washers, sweepers, and floor
scrubbers. The company, founded in 1997, has been a recognized leader in
the research and development and production of small- to mid-sized
cleaning solutions for commercial and industrial applications.
Commented Pat Schottler, Tennant Company Vice President, APAC:
“Acquiring Gaomei is a strategic move that aligns with our growth
aspirations in the China market. Over the last 21 years, Gaomei has
consistently demonstrated an ability to grow and distinguish its brand
in China. The acquisition will enable Gaomei and Tennant to further
strengthen our position in the region by offering highly complementary
product portfolios and differentiated go-to-market approaches.”
Gaomei will continue to operate and compete independently. The company
will remain focused on building their brand, advancing their innovative
product portfolio, and growing their market presence. “This is a win-win
for Gaomei and Tennant as well as our partners, customers, and
employees! We are confident that our collaboration with Tennant will
help us expand our capabilities and grow the Gaomei brand,” said Mr.
Chen Guobao, Gaomei General Manager. “We are very excited about the
future and the possibilities ahead of us working together with Tennant
Company,” he added.
Said Schottler: “We welcome Gaomei as part of Tennant Company’s
multi-brand portfolio. Gaomei is an established leader in the mid-tier
market with a strong management team and we are excited about our
combined potential.”
Tennant expects the acquisition to be completed in the 2018 fourth
quarter.
About Hefei GAOMEI Cleaning Equipment Company,
Ltd.
Hefei GAOMEI Cleaning Equipment Company, Ltd.,
established in 1997, is a renowned professional cleaning equipment
manufacturer with import and export rights. GAOMEI manufactures cleaning
machines, including multi-functional single disc scrubbing machines,
foaming tanks, vacuum cleaners, wet & dry cleaners, carpet extractors,
blowers, high-pressure washers and floor scrubbers for commercial and
industrial markets. GAOMEI’S professional cleaning equipment is sold in
Southeast Asia, Australia, South Asia, Eastern Asia, Europe, the Middle
East, and the Americas. For more information, visit http://www.gaomei.cn.
About Tennant Company
Founded
in 1870, Tennant Company (TNC), headquartered in Minneapolis, Minnesota,
is a world leader in designing, manufacturing and marketing solutions
that empower customers to achieve quality cleaning performance, reduce
their environmental impact and help create a cleaner, safer, healthier
world. Its products include equipment for maintaining surfaces in
industrial, commercial and outdoor environments; detergent-free and
other sustainable cleaning technologies; cleaning tools and supplies;
and coatings for protecting, repairing and upgrading surfaces. Tennant's
global field service network is the most extensive in the industry.
Tennant Company had sales of $1.0 billion in 2017 and has approximately
4,300 employees. Tennant has manufacturing operations throughout the
world; and sells products directly in 15 countries and through
distributors in more than 100 countries. For more information, visit www.tennantco.com
and www.ipcworldwide.com.
The Tennant Company logo and other trademarks designated with the symbol
“®” are trademarks of Tennant Company registered in the United States
and/or other countries.
Forward-Looking Statements
Certain
statements contained in this document, as well as other written and oral
statements made by us from time to time, are considered “forward-looking
statements” within the meaning of the Private Securities Litigation
Reform Act. These statements do not relate to strictly historical or
current facts and provide current expectations or forecasts of future
events. Any such expectations or forecasts of future events are subject
to a variety of factors. These include factors that affect all
businesses operating in a global market as well as matters specific to
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personnel and create effective succession planning strategies; the
competition in our business; fluctuations in the cost, quality or
availability of raw materials and purchased components; our ability to
successfully upgrade and evolve our information technology systems; our
ability to develop and commercialize new innovative products and
services; our ability to integrate acquisitions, including IPC; our
ability to generate sufficient cash to satisfy our debt obligations;
geopolitical and economic uncertainty throughout the world; our ability
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security risks; the occurrence of a significant business interruption;
our ability to comply with laws and regulations; the potential
disruption of our business from actions of activist investors or others;
the relative strength of the U.S. dollar, which affects the cost of our
materials and products purchased and sold internationally; unforeseen
product liability claims or product quality issues; and our internal
control over financial reporting risks resulting from our acquisition of
IPC.
We caution that forward-looking statements must be considered carefully
and that actual results may differ in material ways due to risks and
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could materially affect our results can be found in our 2017 Form 10-K
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are urged to consider these factors in evaluating forward-looking
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investors should not consider any list of such factors to be an
exhaustive or complete list of all risks or uncertainties.
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Tennant Company
Investor Contact:
Tom Paulson, 763-540-1204
Senior
Vice President and Chief Financial Officer
tom.paulson@tennantco.com
or
Media
Contact:
Kathryn Lovik, 763-540-1212
Global Communications
Director
kathryn.lovik@tennantco.com
Source: Tennant Company