Metal Manufactures acquires Synergy

by | Apr 12, 2022

Wholesale industrial hardware distributor Metal Manufactures has purchased 100 per cent of trade supplier Synergy Business Systems. Now with 20 stores located nationally, Synergy Business sells to both the hardware and construction industries as well as engineer and industrial fastener businesses.

Synergy’s board accepted Metal Manufactures’ offer late last month following a mid-2021 review at Synergy to gauge funding options and a shareholder selldown. M&A Partners ran expressions of interest late last year which drew two trade players – both with 100 per cent acquisition offers.

Due diligence for interested parties ran from late January to February, the report said, with Metal Manufactures cementing its offer with a 30-day exclusive due diligence and concluded in a share purchase agreement.

Founded in 2006 as a partnership between four Australian industrial hardware suppliers, Synergy Business Systems boasts clients throughout the engineering, construction and industrial fastener industries. Currently running 20 stores, Synergy is also stocked in 40 independent stores across the country, with the business seeing itself as an aggregator in a fragmented hardware supplies market, according to the report.

Established in 1916, Metal Manufactures is a privately owned wholesale distributor employing 3000 staff and boasting 300 warehouses. According to the report, Meta Manufactures businesses include MM Electrical Merchandising (MMEM), MM Kembla, MM Plastics, Rushmore Distributors as well as Seadan Security & Electronics.