InSight

Exit and Growth Strategies for Middle Market Businesses

M&A Quarterly News In The Wholesale Distribution Industry Sector

By Jeremiah Hughes | Oct 28, 2019

The report below gives a good overview of the fourth quarter M&A activity in the Wholesale Distribution Industry Sector. M&A activity for North American based target companies in the Wholesale Distribution sector for Q3 2019 included 46 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions in the sector closed in August when Brady Industries, Inc. acquired Datek, Inc. for an undisclosed amount. Established in 1976, Datek is located in North Little Rock, Arkansas. The company distributes janitorial chemicals, laundry products, cleaning equipment and other miscellaneous cleaning supplies.

Industry Indicators

  • The average US retail price for diesel and regular gas, a major operating cost for distributor fleets in the wholesale sector, fell 6.4% and 7.7%, respectively, in the week ending August 12, 2019, compared to the same week in 2018.
  • Total US manufacturers’ shipments, an indicator of demand for industries in the wholesale sector, rose 1.9% year-to-date in June 2019 compared to the same period in 2018.
  • Total US wholesale sales, a measure of the wholesale sector, dropped 2.7% in June 2019 compared to the same period in 2018.

Posted by Jeremiah Hughes.

Read the Entire Wholesale Distribution 4th Quarter Newsletter Here


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