Summit Electric Supply, Albuquerque, N.M., has reached a definitive agreement to acquire the domestic operating assets of Warren Electric Group, Houston. The deal includes 12 domestic branches and one location in South America.
This acquisition more than doubled the number of Summit locations. It brings the company into the Gulf Coast area of Texas, including Houston, La Porte, Beaumont, Clute, Corpus Christi and Harlingen; adds Louisiana locations in New Orleans, Lafayette, Baton Rouge and Lake Charles; and also adds a location in Venezuela.
Summit Electric Supply will continue business relationships with most of Warren Electric's vendors but will not take on the Allen-Bradley/Rockwell franchise in the acquired locations. The company will continue to use the Warren name for an undetermined period of time as they transition the operation.
“The Warren acquisition follows closely on the heels of our purchase of Ideal Electrical Supply in Killeen, Texas,” said Victor Jury Jr., Summit's president. “Our strategic plan has always been to enter new markets when a strong opportunity arises and when we have the people to support the move.”
“This acquisition is very positive for Warren's employees, customers and vendors,” said Cheryl Thompson-Draper, chairman, president and CEO of Warren Electric Group. “We've obviously had a difficult year, and we appreciate those who have stood by us.”
With $135.6 million in 2001 sales, 305 employees and 10 locations, Summit Electric was ranked the 34th largest electrical distributor in the United States in EW's Top 250 listing.
Bill Elliott, president of the Nacogdoches, Texas-based Elliott Electric Supply, had hammered out an agreement to acquire Warren earlier this fall. The deal was contingent on Elliott Electric being appointed a distributor for Rockwell Automation. It fell through when Rockwell informed Elliott in early November that they would not give the line to Elliott Electric Supply because the company had never been an Allen-Bradley distributor.