| Ticker | Status | Jurisdiction | Filing Date | CP Start | CP End | CP Loss | Deadline |
|---|
| Ticker | Case Name | Status | CP Start | CP End | Deadline | Settlement Amt |
|---|
| Ticker | Name | Date | Analyst Firm | Up/Down | Target ($) | Rating Change | Rating Current |
|---|
Miller Industries, Inc. (NYSE:MLR), the World's Largest Manufacturer of Towing and Recovery Equipment, today announced that it has acquired Southern Hydraulic Cylinder, Inc., a custom hydraulic cylinder manufacturer, in an all-cash transaction for an aggregate purchase price of approximately $17.5 million, subject to certain pre- and post-closing adjustments for cash and net working capital.
Southern Hydraulic Cylinder, headquartered in Athens, TN, specializes in the manufacture and supply of custom-built, welded hydraulic cylinders for a variety of industries. The acquisition will help bolster the Company's efforts to improve the stability of its supply chain and is expected to be accretive within the first year.
Chief Executive Officer, William G. Miller, II, stated, "This is a significant step in improving the security of our supply chain through vertical integration. While this acquisition is immaterial to our consolidated financial results, the sourcing flexibility this acquisition provides us should have a positive impact on our ability to deliver finished goods to our customers, reduce our inventory balance and execute against our record backlog. Historically, hydraulic component parts have had some of the longest lead times, so the ability to insource this production is a significant advantage for us. There may also be opportunities to improve the productivity of Southern Hydraulic Cylinder by introducing automation and improving production efficiency to further meet Miller Industries' increasing needs. While we remain disciplined in our use of capital in looking at potential areas to improve our operations, as we have previously stated, we are a debt-averse company and reducing our debt will be a top priority moving forward."
Mr. Miller, II, concluded, "Southern Hydraulic Cylinder has a strong heritage within the region, and as fellow members of the greater Chattanooga community, we will work together to promote economic growth in the area. We look forward to working with our new customers and continuing the great quality and service they have come to expect."
Posted In: MLR
