All States Ag Parts, a portfolio company of Kinderhook Industries, has acquired Kern County Tractor Parts.
Kern is a provider of used, aftermarket and remanufactured parts for the agricultural industry. The company stocks replacement parts for tractors, skid steers, combines, headers, planters, drills, skid steers, harvesting equipment, and other tillage products.
The company provides equipment for many agricultural brands including John Deere, New Holland, International, Isuzu, Kubota, Bobcat, Case, Caterpillar, and many others. Kern is headquartered near Bakersfield in McFarland, CA (www.kerncountytractor.com).
Kinderhook acquired All States Ag Parts (ASAP), a supplier of used, rebuilt and aftermarket parts for all makes and models of tractors, combines, and other farm machinery, in May 2018. The buy of Kern is the third add-on acquisition for ASAP under Kinderhook’s ownership. Just last month, ASAP closed the buy of John F. Mahaney Company, a Sacramento, CA-based distributor of professional-grade tools and supplies to the agricultural, ranch and industrial markets (www.mahaneyhardware.com).
ASAP is the largest supplier of used, new and remanufactured tractor and combine parts in North America. The company has more than 850,000 aftermarket parts – with over 50,000 parts available for same-day shipping – and carries parts for all makes including John Deere, Case IH, New Holland, Ford, International, Allis Chalmers, Caterpillar, Gehl, Massey Ferguson, Kubota, Lexion, Minneapolis Moline, Oliver, Steiger, Versatile, and White.
ASAP has eleven facilities, some of which have multiple functions, located in Wisconsin, Minnesota, Iowa, Missouri, Nebraska, South Dakota and California. Included are eight salvage yards, two rebuild facilities and a 217,000 sq. ft. distribution center in Lake Mills, IA. The company’s catalog and e-commerce call center is based in De Soto, IA. ASAP, led by CEO John Dyke, is headquartered 28 miles east of Minneapolis in Hudson, WI (www.tractorpartsasap.com).
The buy of Kern will establish ASAP’s 12th retail location and first salvage yard in California. “This is a great acquisition for ASAP,” said Mr. Dyke. “The West Coast is a huge agricultural market and one that we haven’t been able to serve well in the past due to logistics. We look forward to working with Kern to continue providing the high level of customer service they have come to be known for.” Over time, ASAP will expand the product line currently available to Kern’s customers by providing access to inventory across ASAP’s entire store and online footprint.
“We are excited to combine Kern with the current ASAP business. Kern’s strategic location will enable ASAP to better serve its West Coast customer base, who will also benefit from the enhanced product offering that ASAP can provide,” said Paul Cifelli, a managing director at Kinderhook.
Kinderhook makes control investments in companies with transaction values of $25 million to $150 million in which the firm can achieve financial, operational and growth improvements. The firm makes investments in non-core divisions of public companies, management buyouts of entrepreneurial-owned businesses, troubled situations, and existing small capitalization companies lacking institutional support. Sectors of interest include healthcare services, environmental/business services, and automotive/light manufacturing. Kinderhook was founded in 2003 and is based in New York (www.kinderhook.com).
Financing for the buy of Kern was provided by Maranon Capital.
© 2019 Private Equity Professional | June 18, 2019
