Boyd Group acquisition adds 61 glass centres in U.S.

Winnipeg, Manitoba -- June 3, 2013 -- Boyd Group has announced that has effectively acquired a majority ownership and controlling interest in the retail auto glass business of Glass America, which operates 61 retail auto glass locations across 23 U.S. states under the trade names of Glass America and Auto Glass Services. In combination with its Gerber Glass facilities operating in the U.S., this acquisition makes Boyd Group the second largest retail auto glass service business in the U.S.

"This acquisition is very attractive from both a strategic and a financial point of view," said Brock Bulbuck, President and CEO of the Boyd Group. "The automotive glass restoration business is a natural and complimentary extension of our industry leading collision repair business. This acquisition will increase our U.S. glass business size, both in terms of footprint and annual sales, to become the second largest retail auto glass business in the U.S., servicing 28 states covering approximately 50 per cent of the U.S. population. This retail expansion, in combination with our already established nationwide auto glass network, Gerber National Glass Services, significantly improves our positioning with U.S. insurance company customers.

“Financially, we expect this acquisition to be immediately accretive to our earnings and cash flow, with significant synergy opportunities available over time as the Glass America operations are integrated into Gerber Glass's operating model. It will also better position our glass business for growth alongside our growing collision business.

"We are also pleased with our continuing partnership with our operating partner Eddie Cheskis, CEO of Gerber Glass, who will co-invest with us and will continue as CEO of our much larger U.S. glass business. "While complimentary to our collision business, we also recognize that the auto glass business is somewhat unique and therefore having a recognized industry leader as an operating partner is of great value."

Glass America operates 61 auto glass centres in 23 states and had 2012 revenues of US$43 million. For more information on the Boyd Group, please visit boydgroup.com.