MILWAUKEE — A. O. Smith Corporation announced that it has acquired Giant Factories Inc. The purchase price is approximately USD $192 million in cash, subject to customary adjustments.
“The addition of Giant strengthens our leadership position as a global supplier of residential and commercial water heaters,” said Kevin J. Wheeler, chairman and chief executive officer. “The acquisition also supports our corporate strategy by increasing our North America market penetration, creating additional capacity and enhancing our distribution capabilities. Along with its rich history, established relationships and talented team, Giant’s values and business approach align with ours, and we look forward to welcoming Giant’s employees to the A. O. Smith family.”
“We are extremely excited about the benefits of a powerful combination with a world leader in global water technology,” said Claude Lesage, Giant Factories Inc. president. “This natural and logical partnership with A. O. Smith will enhance prospects for our customers, employees, and suppliers.”
The addition of Giant to A. O. Smith’s existing water heater operations enlarges the company’s presence in the Canada water heater market.