Canada's Noble Looking To Buy U.S. Distributors
Noble, one of Canada’s largest distributors of PHCP supplies, has embarked on an expansion strategy that includes U.S. distributors. "We're hoping to have an acquisition in the United States in 2011," said Noble President Michael Storfer. He indicated proximity to Noble's Canadian operations isn't crucial.
"We're comfortable just finding the right company with the right management team to do it," Storfer stated. He added they aren't put off entering the U.S. market at a time when the country is battered by a housing crisis. "Sometimes the greatest opportunities are in markets that have hit the bottom."
Noble, which currently has 23 plumbing branches in Ontario, recently signed an agreement to acquire the assets of $90 million Canadian HVAC distributor Don Park Inc. Noble is owned by Canadian home improvement retailer Rona Inc. The Quebec-based company is trying to offset challenges to its retail business from lagging consumer confidence and heightened competition by adding independent stores and expanding its trades business.
The transaction has been finalized and, pending regulatory approvals, is expected to close by late 2010.