Stran Acquires GAP Promotions
Stran & Company Inc., the distributor based in Quincy, Massachusetts, announced that it has signed a definitive agreement to acquire GAP Promotions LLC (GAP Promo) in an asset purchase transaction. The acquisition is expected to close during the first quarter of 2022, and is subject to customary closing conditions.
Headquartered in Gloucester, Massachusetts, GAP Promo is a full-service promotions agency that designs, sources and develops custom brand solutions for many of the world's leading beverage and consumer packaged goods companies. GAP Promo achieved sales of $7.4 million in 2020 and has been profitable since inception of 2006.
GAP Promo's expertise in point-of-sale, display, racks and more bolsters Stran's business in the beverage and consumer packaged goods sectors. Stran's product sourcing and development, technology, logistics and fulfillment expertise provides GAP Promo's customers with a broader array of new services and capabilities. The combined knowledge and capabilities are expected to generate growth opportunities across both organizations' existing clients, as well as help attract new clients.
Gayle Piraino, founder and president of GAP Promo, will continue with the company to lead the new GAP Promo business. Stran will also retain all of GAP Promo's current employees.
"We have long admired the work of GAP Promo, as their design and execution of branded merchandise programs and innovative custom displays is top quality," said Andy Shape, president and CEO of Stran. "Gayle and her team have built a tremendous business through their singular focus on providing customers with brand-relevant experiences. Additionally, their client portfolio consists of top-tier beverage and consumer packaged goods companies, which we believe will be highly complementary to our existing business. We are excited to build upon their success and believe that through our combined offerings we can provide an even more compelling and comprehensive service offering for our customers. Importantly, we expect this transaction to be highly accretive, given GAP Promo's track record of profitability and the anticipated economies of scale."
"We are thrilled to join the Stran family," Piraino said. "We believe that Stran's focus on providing comprehensive solutions for their customers will help our team to become even more valuable to our current customers. Our two teams are well aligned to continue the growth of our beverage and consumer packaged goods business."
Additional details of the transaction are included in the company's form 8-K filed with the SEC, which is available at SEC.gov.
The preceding press release was provided by a company unaffiliated with Promo Marketing. The views expressed within do not directly reflect the thoughts or opinions of Promo Marketing.