EVI Industries Expands by Acquiring Haiges Machinery
EVI Industries, Inc. (NYSE American: EVI) has made a strategic move to broaden its operational footprint by acquiring Haiges Machinery, a well-respected distributor of commercial laundry products. This definitive agreement positions EVI to enhance its service capabilities in the Midwest, where Haiges Machinery, based in Huntley, IL, serves an essential role in commercial laundry markets.
Continuity and Commitment to Excellence
Under EVI’s operating model, Haiges Machinery will continue to operate under its established name and retain all twenty-five of its current employees. This ensures that the company can uphold its dedication to quality service and meet the needs of its loyal customers. With this acquisition, EVI has successfully integrated twenty-nine commercial laundry businesses into its portfolio. This growth reflects EVI’s commitment to being the leader in the North American commercial laundry distribution and services sector.
Thoughtful Integration Process
Henry M. Nahmad, EVI’s Chairman and CEO, expressed his enthusiasm regarding the acquisition, noting that achieving long-term goals requires thoughtful execution and collaboration. EVI prides itself on fostering a supportive environment that encourages entrepreneurs and industry professionals to thrive. He appreciated the thoughtful process undertaken by Robert Haiges and his family, highlighting the strong foundation of trust and respect formed throughout the acquisition process.
Financial Implications of the Acquisition
While the exact completion timeline depends on customary closing conditions, EVI anticipates that the integration of Haiges Machinery will be beneficial to its earnings for the fiscal year ending June 30, 2025. The acquisition will be funded through cash consideration, which aligns with EVI’s strategy of making financially sound decisions that support its growth trajectory.
Understanding EVI’s Buy and Build Strategy
EVI's strategy since 2016 has been referred to as a “buy-and-build” philosophy, wherein the company actively seeks to partner with quality businesses led by experienced leaders. This approach has resulted in the acquisition of twenty-eight businesses, solidifying EVI’s leadership in the commercial laundry distribution and service industry. The key components of this strategy include:
- Actively identifying and partnering with successful business leaders.
- Practicing retention of leadership teams and maintaining company culture.
- Encouraging innovation and collaborative efforts among the teams.
- Supporting aggressive growth while helping leadership achieve their objectives.
- Implementing advanced technologies to improve operations and customer experiences.
- Establishing an ownership culture that motivates teams through long-term equity opportunities.
About EVI Industries
EVI Industries, Inc. is a recognized distributor and service provider in the commercial laundry sector. Through its subsidiaries, EVI offers a comprehensive range of services, including planning, consulting, and technical support. The company specializes in modern commercial laundry equipment such as washing, drying, and finishing machines. EVI also excels in maintenance, installation, and repair services, catering to a diverse customer base encompassing retail, commercial, industrial, institutional, and governmental sectors. Clients can expect purchases ranging from essential parts to large systems, emphasizing EVI's commitment to quality and customer satisfaction.
Frequently Asked Questions
What is the significance of EVI's acquisition of Haiges Machinery?
This acquisition allows EVI to solidify its presence in the Midwest and expand its service offerings within the commercial laundry sector.
Who will lead Haiges Machinery post-acquisition?
Haiges Machinery will retain its current leadership team, ensuring continuity in operations and customer relationships.
What is EVI's buy-and-build strategy?
EVI’s strategy focuses on acquiring successful businesses and integrating them while retaining their leadership and culture to promote growth and innovation.
How will the acquisition impact EVI's financial performance?
EVI expects the acquisition to be accretive to its earnings and positively influence its operational results in the fiscal year ending June 30, 2025.
What products and services does EVI offer?
EVI provides commercial laundry equipment sales and leasing, along with installation, maintenance, and repair services to a diverse range of customers.
