Tank Holding Corp. is expanding its water tank production capacity with the acquisition of Bushman USA's water tank product line.
In a deal that was effective Nov. 20, Tank Holding Corp. announced it will purchase the company and its related assets from Channell Commercial Corp. Terms were not released.
Like Tank Holding Corp., Bushman is primarily a rotational molder. It produces rainwater harvesting solutions for residential, commercial and municipal applications.
Temecula, Calif.-based Channell launched the Bushman product line in 2009 and the company became a key player in the rainwater harvesting end market with its rotomolded tanks.
Bushman's growth put it on the radar of Tank Holding Corp., which has grown through acquisitions in recent years. Officials noted that Bushman was a strong candidate for acquisition because of its strong brand equity and unique product designs in the water and rain harvesting market.
“Bushman represents not only an attractive product line addition to Tank Holding's broad portfolio of products, but also a new market platform within the growing rainwater harvesting industry, which we can promote through our existing North American manufacturing and distribution channel footprint,” Greg Wade, CEO of Tank Holding Corp., said in a news release.
With the acquisition, Tank Holding affirms its commitment to growth through acquisition, seeking out strategic targets that support the company's overall growth plan.
In an email interview with Plastics News, Wade added that Bushman “is an ideal fit with our plans to continue expanding our water, water conservation, and rain harvesting businesses.”
Going forward, Wade noted that Tank Holding Corp. will “maintain the Bushman brand for its recognition in the rain harvesting and water market.”
Growth through acquisition will remain a primary focus for Tank Holding Corp. going forward.
“We have a growing pipeline of acquisition opportunities that we plan to vigorously pursue in the coming months,” Wade noted.
Last year, the company acquired Agri Plastics' Material Handling division, which manufactures a broad product line of bulk containers designed to transport and store a wide array of materials for many industries, ranging from food processing to recycling. It also includes a line of insulated containers used to handle temperature-sensitive materials like seafood and poultry.
Bushman's former parent company, Channell Commercial Corp., is a global company specializing in the manufacturing of thermoplastic and metal enclosures. MCA Financial Group Ltd. advised Channell on the sale.
“Channell is going to concentrate on serving our core markets with the greatest growth potential, and I believe the Bushman business is a better match with Tank Holding Corp.'s strategic direction.” Bill Channell, CEO of the company, said in a statement.
Tank Holding Corp. is North America's largest rotational molder according to Plastics News' 2018 ranking of rotational molders, with $250 million in rotomolding sales. It currently operates 22 manufacturing plants and employs about 650 people throughout North America.
Tank Holding Corp., which designs and manufactures rotationally molded polyethylene and plastic and steel containers and proprietary products, has been owned by Leonard Green & Partners LP and the management team since 2012. The company also includes the brands of Bonar Plastics and Stratis Pallets, in addition to Norwesco and Snyder Industries.
