Myers Industries completes acquisition to strengthen materials handling segment

Third bolt-on acquisition to material handling segment in the last two years.

By ·

Myers Industries has announced that on July 2, 2014 it completed the acquisition of Scepter Corporation and Scepter Manufacturing.

Scepter is a leading producer of portable marine fuel containers, portable fuel and water containers and accessories, ammunition containers, storage totes and environmental bins. Scepter employs 350 employees and has manufacturing plants in Toronto, Canada and Miami, Okla. The final purchase price was $157 million. Other terms of the agreement were not disclosed.

Scepter, with 2013 sales of approximately $100 million and trailing twelve months EBITDA of $23.5 million, is expected to be immediately accretive to adjusted earnings per share and to generate a return on investment above the company’s cost of capital. The company anticipates realizing synergies of more than $2 million on an annual basis driven by material cost savings and plant efficiencies.

The acquisition of Scepter supports the long-term strategic growth and profitability improvement plan of the company. Scepter’s in-house product engineering and state of the art mold capabilities complements Myers Industries’ material handling segment in North America through an increased product offering and greater global reach.

“Scepter is an excellent strategic fit with Myers Industries. As our third bolt-on acquisition to the material handling segment in the last two years, Scepter meets our ongoing objective to grow the profitability of this segment with a business that has a long history of product innovation and profitable market leadership,” said John C. Orr, president and CEO. “We are very pleased to welcome Scepter employees to Myers Industries and look forward to working together to efficiently integrate Scepter into our portfolio of companies, capitalize on synergies, and continue to grow profitably while adding value for all stakeholders.”

As previously announced on June 24, 2014, Myers’ has reduced its reporting segments from four to two focusing on material handling and distribution, its two core businesses.


Subscribe to Modern Materials Handling Magazine!

Subscribe today. It's FREE!
Find out what the world’s most innovative companies are doing to improve productivity in their plants and distribution centers.
Start your FREE subscription today!

Latest Whitepaper
Is Your DC Ready for E-commerce Growth? Here’s How to Handle More SKUs and Inventory Turns
The rise of e-commerce and multi-channel fulfillment has caused distribution centers (DCs) to experience ever-growing numbers of stock-keeping units (SKUs) and more inventory turns, up to an average of nine in 2015.
Download Today!
From the August 2016 Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
5 Emerging Technologies Enabling Competitive Advantage for Distribution
Come hear about the latest in each-picking robotics, co-bots, artificial intelligence, autonomous vehicles, sensors, drones and droids that are enabling competitive advantage for distribution.
Register Today!
EDITORS' PICKS
The data-driven lift truck
Now that manufacturers and distributors are using the data from their automated systems to drive...
Destination Maternity: Destination Automation
Running short of space in its old facility, Destination Maternity Corp. built a new, highly...

Hibbett Sports: Faster, Flexible and Efficient
A high-speed conveyor and sortation system at Hibbett Sports’ Alabama distribution center speeds...
Necessity is the mother of invention at Quiet Logistics
Faced with the loss of a robotic pick solution, Quiet Logistics invented its own robots. Are they...