Lawson To Buy Rutland Tool

Jason Sandefur

Lawson Products Inc. agreed to pay $15 million in cash to acquire Whittier, CA-based Rutland Tool & Supply Co., a distributor of distributes metalworking tools, machine tools, fasteners and related MRO supplies. Rutland Tool is a subsidiary of Airgas Inc., a distributor of industrial gases, welding goods and safety products. The deal is expected to close by Dec. 1, 2005.
Rutland Tool operates facilities in Whittier, Santa Ana, Chatsworth and San Jose, CA; Houston; Phoenix; and Suwanee, GA. The firm generated sales of $47 million in its fiscal year ended March 31, 2005. Rutland Tool’s product line includes bolts, nuts, socket head cap screws and pins.
Lawson CEO Robert Washlow said the acquisition will expand Lawson’s product lines into the machine tool industry while boosting its presence in critical Western markets and providing access to customers the company doesn’t currently serve.
Lawson plans to invest in Rutland Tool’s Rutland’s warehousing and distribution operations in the Los Angeles area to handle organic growth, as well as localizing distribution of other Lawson products. The warehousing and distribution facilities’ realignment is intended to speed up Lawson’s service time.
In addition, Rutland Tool facilities will be used as a major entry point for imported products. Lawson will also use the site as a packaging center. Web: lawsonproducts.com �2005 FastenerNews.com