Littlejohn & Co. will acquire Handy Hardware, a wholesale hardware distributor to independent hardware retailers. The transaction was approved by the United States Bankruptcy Court for the District of Delaware as part of a Chapter 11 plan for Handy Hardware and is expected to close during the week of August 5, 2013.
Handy Hardware provides nearly 50,000 SKU’s to more than 1,000 customers in the plumbing, electrical, general hardware, paint, hand and power tools, lawn and garden care, automotive, and office supplies sectors. The company distributes its products to retail hardware stores in nine states located primarily in the southern US. Handy Hardware is based in Houston (www.handyhardware.com).
Doug Miller, former President of Jensen Distribution who has over 45 years of hardware distribution experience, will serve as Interim Chief Executive Officer of Handy Hardware.
“This is an important milestone for the future growth of Handy Hardware and I am pleased to lead this organization, which has enjoyed outstanding support and loyalty from its members and industry partners,” said Mr. Miller. “With the additional financial and operating resources of Littlejohn, our future outlook is bright and we look forward to driving service level improvements and delivering value to our customers and vendors through distribution excellence.”
Littlejohn & Co. makes control and non-control investments in middle-market companies that are undergoing a fundamental change in capital structure, strategy, operations or growth. The firm is currently investing from Littlejohn Fund IV which has over $1.3 billion in capital commitments. Littlejohn & Co. is based in Greenwich, CT (www.littlejohnllc.com).
“Handy Hardware provides critical value to independent, single and multi-store hardware customers and with this transaction it will have a solid financial foundation from which to build a stronger future. Doug will be actively involved in the transition to the reorganized company and is identifying a number of opportunities that will immediately enhance the company’s operations,” said Steven Raich, Managing Director of Littlejohn.
© 2013 PEPD • Private Equity’s Leading News Magazine • 7-29-13