alphabroder Announces Acquisition of Ash City Worldwide
alphabroder, the Trevose, Pennsylvania-based apparel supplier and highest-ranked company on Promo Marketing's 2013 Top Suppliers list, announced today the acquisition of Ash City Worldwide, one of North America's leading promotional apparel manufacturers and suppliers.
Since 2006, alphabroder, then known as Broder Bros., has been the No. 1 company on Promo Marketing's annual Top Suppliers list, posting $817 million in sales in 2012. Ash City was the No. 10 company that year with sales of $148 million.With the addition of Ash City, alphabroder expects to have annual revenues exceeding $1 billion. alphabroder plans to combine the companies' range of capabilities, including Ash City's strong presence in Canada, to better serve its customers.
“This transformational acquisition creates an industry leader that delivers a comprehensive selection of promotional apparel with an unmatched distribution network and customer support," Norman Hullinger, alphabroder CEO, said. For over 35 years Ash City has demonstrated a commitment to excellence through its innovative products, strong customer service and expanding product portfolio.”
In 1977, Garry Hurvitz established GH Group, which launched the Ash City brand 14 years later in Ontario, Canada. Ash City currently offers six distinct brands, including Ash City, Extreme, North End, North End Sport Blue, North End Sport and Core 365. Hurvitz will be departing from the company.
“I have spent over 35 years building Ash City into a leading corporate apparel supplier in North America,” Hurvitz said. “Our tremendous growth in both Canada and the United States would not have been possible without the loyalty and commitment of my colleagues, suppliers and customers. I am excited to move on to the next stage in my career, and take particular comfort in knowing that alphabroder, the industry’s leader, will be providing our best-in-class product to a vastly expanded customer base throughout North America and will provide our customers with the level of service that Ash City is known for.”
However, Ash City president Doug Hayes and chief financial officer Rob Meier will keep their respective titles at alphabroder, Canada.
“Together, the combination of these two businesses is the natural evolution for our company and the industry," Hayes said. "We look forward to better serving each of our customer bases as a result of the strengths inherent in combining our operational capabilities, product portfolios and geographic footprints."
In 2012, Littlejohn & Co., a Greenwich, Connecticut-based private equity firm that invests in middle-market companies undergoing changes in capital structure, strategy operation or growth, led the recapitalization of alphabroder, then Broder Bros., and assumed control of Board of Directors. Since then, the company acquired Imprints Wholesale and Ash City and rebranded itself as alphabroder. The company that was founded in 1919 as Broder Bros. Co. also includes Alpha Shirt Company and NES Clothing Company.
"The addition of Ash City is our first step toward international expansion and further secures our position as the North American industry leader and innovator in the promotional apparel space,” said Dan Pantano, alphabroder's president.