EVI Industries has signed off on a deal to buy US-based laundry equipment supplier Yankee Equipment Systems for USD 13.50 billion.
The company will finance the transaction using a combination of cash and stock.
Completion remains subject to closing conditions.
The acquisition will add around USD 31.00 million in revenue to EVI’s operations.
Located in New Hampshire, Yankee Equipment Systems sells, leases and rents out a range of laundry equipment for hotels, linen suppliers, schools and hospitals, among other customers.
Formed in 1998, the group’s offerings include washing machines, dryers, crossfolding systems and single stage extraction presses.
The company has 56 employees and a market share in the New England region of the northeastern US.
Henry Nahmad, chief executive of EVI, said: “Consistent with our operating model, Yankee Equipment Systems will continue to be led by Peter Limoncelli and will operate under its current name, from its present location, and with its existing team to provide its customers, employees, and vendor partners business continuity.”
He added: “Yankee Equipment Systems significantly expands our footprint in the Northeast and positions us to continue investing in this highly fragmented region.”
According to Zephyr, the M&A database published by Bureau van Dijk, the deal represents EVI’s second acquisition this year.
In February, it bought Virginia-headquartered Commercial Laundry Equipment Company for an undisclosed sum.
Back in January 2019, EVI also acquired PAC Industries for USD 12.85 million.
Following the deal with Yankee Equipment Systems, the buyer will comprise 190 employees across its northeastern operations.
Zephyr shows there have been 21 deals targeting dry cleaning and laundry services operators announced globally in 2020 to date.
In the largest of these, UK-based Johnson Service Group signed off on plans to raise GBP 85.00 million through a placement of shares.
This was followed by LGT European Capital buying a majority stake in 5aSec Group for EUR 60.00 million.
© Zephus Ltd