UK equipment dealer makes first international acquisition; Molson Smart Platform key factor in deal
UK equipment dealers Molson Group have completed a deal to acquire US-based equipment dealers Powerscreen of California, who operate in the US states of California, Hawaii, and Nevada.
A key factor in the acquisition is Molson’s Smart Platform, which the company developed specifically to run equipment businesses. With its ERP system, multi-brand e-commerce sales module, data-analysis portal, and training academy elements, Smart Platform allows dealers to achieve significant operational efficiencies with immediate effect.
Robin Powell, group managing director of Molson Group, says the acquisition is significant not only because it is Molson’s first international acquisition, providing significant growth opportunities, but also because both Powerscreen of California (and their equipment partners Terex) recognize the value of Smart Platform.
‘We created this platform to run equipment dealer businesses smoothly and efficiently, allowing smaller firms, who would not have the capital to develop their own systems, access to a tech platform that has been developed specifically for equipment businesses with all their peculiarities and variations,’ said Mr Powell.
‘Powerscreen of California were keen to maintain their individuality and way of working, whilst benefiting from acquisition by a larger group like Molson: this is possible because of our technology platform.’
According to Mr Powell, the Powerscreen of California product range will evolve to mirror the 360° approach that has proved so successful at Molson, but through gradual, collaborative change.
He added that Molson Group were in a unique position to develop this ‘industry-changing platform’, as they have the benefit of both scale (as a £350 million turnover business) and agility, as Molson are independent, with no legacy systems in place or dominant supplier imposing their own systems.
‘This platform gives us unique leverage to buy companies and consolidate the sector. We are excited by what this means for the future of Molson Group and for the sector as a whole,’ he said.
Further acquisitions are expected for Molson in the US, leveraging the IT platform and launching a new phase of growth for the Group.
Powerscreen of California are also excited by the opportunity for growth and expanded resources that the Molson acquisition will bring, whilst also allowing the organization to remain largely unchanged and further strengthening its commitment to industry-leading customer support.
Owner and director Paul Campbell said: ‘For almost 40 years, my company reputation has been built on the diligence of our people and close relationships with our customers. Molson Group is a highly respected and progressive dealership and there are clear synergies between our organizations. We believe this presents us with a tremendous opportunity to build upon our strong legacy.’
Molson are already established suppliers of Terex products in the UK, and this strategic expansion to represent the manufacturing giant in the US will further strengthens
the relationship with Terex.
Kieran Hegarty, president of Terex Materials Processing, commented: ‘The Molson Group is already a valued Terex partner, with distribution rights for other Terex lines in Great Britain. This acquisition allows us to strengthen our relationship with this vibrant and progressive business.
‘We are particularly excited about the benefits that this acquisition will bring, both for our customers in the states of California, Hawaii, and Nevada and for our business. Synergies within the existing Molson organization will provide the depth required to consolidate the excellent growth experienced by the Powerscreen of California in recent years and will guarantee industry leading customer support.’