|All amounts in Canadian dollars unless otherwise stated|
Merger creates an industry leader in North America
ONCAP L.P. ("ONCAP") announced that one of its operating companies, Western Inventory Service Ltd. ("Western"), has merged with Washington Inventory Service ("Washington"). The combination of the two companies creates the 2nd largest inventory service provider in the world with 200 offices throughout North and South America, Europe and Asia. The combined company will be called WIS International and will be owned by ONCAP and management.
Western is Canada's largest inventory data collection and inventory verification company. Western, founded in 1967, was acquired by ONCAP and management in March 2003. The company provides customized inventory counts, inventory consulting, information management and retail price verification to the retail and industrial sectors. Western currently operates through a network of offices across Canada and the eastern United States.
Washington, founded in 1953, is one of two national providers of inventory counting services to retailers in the United States. In addition, Washington provides inventory services in Mexico, South America, Europe and Asia and merchandising support, special project execution, and verification services to major consumer product manufacturers in the U.S.
"ONCAP and management are very excited about the transaction. The merger combines Washington's capabilities in the western US with Western's strength and scope in the eastern US and in Canada." said Michael Lay, Managing Partner of ONCAP. "The broader North American infrastructure, more diversified service offering and collective abilities of the management teams will enable the combined business to better service its customers and offers new prospects for growth."
Sean Davoren, President and CEO of Western commented, "The merger creates a formidable new company with broader geographic coverage and greater capacity to meet the expanding needs of the retail community. The combined companies will share solid operational and technical expertise and will provide an even stronger service network to our customers."
I. Edward Tonkon II, President and CEO of Washington added "The vision of a 'combined WIS' has existed for many years, and now provides us with expanded capacity in key strategic channels. The collective operation will permit us to provide a wider product offering, including merchandising services, to our customers on a truly global basis. We are excited about the merger and our partnership with ONCAP."
I. Edward Tonkon II will be the Chief Executive Officer and Sean P. Davoren will be the Chief Operating Officer of WIS International.
ONCAP, a $400 million investment partnership established in 1999 by Onex Corporation and several of Canada's largest pension funds and financial institutions, is a dedicated vehicle for investing in and acquiring small-capitalization North American public and private companies. ONCAP's investments include CMC Electronics Inc., Canadian Securities Registration Systems Ltd., Futuremed Health Care Products L.P. and Western Inventory Service Ltd. Onex Corporation (TSX:OCX.SV) is one of Canada's largest companies with global operations in service, manufacturing, healthcare and technology industries.
For more information on ONCAP L.P., visit its website at http://www.oncap.com.
This news release may contain forward-looking statements that are based on management's current expectations and are subject to known and unknown uncertainties and risks, which could cause actual results to differ materially from those contemplated or implied by such forward-looking statements. Onex is under no obligation to update any forward-looking statements contained herein should material facts change due to new information, future events or otherwise.