MELVILLE, N.Y. – P&F Industries has acquired all of the outstanding equity interests of Universal Air Tool Co. Ltd. (UAT). UAT markets its pneumatic tools primarily to the automotive market in England and Ireland.
The purchase price consisted of approximately $1.95 million in cash, subject to a post-closing working capital adjustment. In addition, there is a potential contingent consideration payment due to the former shareholders of UAT of a maximum of approximately $425,000. The newly acquired company will be a wholly owned subsidiary of P&F’s subsidiary, Florida Pneumatic Manufacturing Corp. The company believes that this acquisition will be immediately accretive to earnings.
Richard Horowitz, P&F’s chairman, president and CEO, explained, "We are pleased to announce that this is the second acquisition of a pneumatic tool company in the past month. With this latest acquisition, Universal Air Tool Company Limited provides P&F with its first direct entry into the European market, and gives us an additional market to sell our Florida Pneumatic and newly acquired AIRCAT brand tools. We are excited about the potential growth opportunities and anticipated transformative effect provided by this acquisition, along with the Exhaust Technologies Inc. acquisition, as we continue our objective to become the ‘go to’ provider in the automotive air tool industry."
