Kamps Inc, which is backed by Freeman Spogli, has agreed to acquire Buckeye Diamond Logistics and its subsidiaries. No financial terms were disclosed. The deal is expected to close at the end of this month. Headquartered in South Charleston, Ohio, BDL is a provider of wood pallets, crates and protective packaging.
GRAND RAPIDS, MI, June 7, 2021 – Kamps, Inc. (“Kamps”), one of the nation’s largest pallet recyclers, is pleased to announce that on June 2, 2021 it signed a definitive purchase agreement to acquire Buckeye Diamond Logistics, Inc. ( “BDL” or the “Company”) and its subsidiaries. The transaction is subject to customary closing conditions and is expected to close at the end of June 2021.
BDL offers pallet recycling, national pallet sales, and on-site pallet management services to over 1,500 customers nationwide through its family of widely-recognized industry brands, including BDL Supply, PALNET USA, and H&S Forest Products. With over 10 asset-based locations, 20 on-site locations, and 150 partner locations nationwide, the acquisition of BDL will strengthen Kamps’ leadership position in the national pallet recycling and pallet management solutions sectors.
Founded by Sam McAdow Sr. in 1968 and headquartered in South Charleston, OH, BDL has a rich history rooted in organic expansion. Since its inception in 1968, BDL has grown to a company that manages and recycles over 100 million pallets annually, employs 1,100 full-time employees, and operates over 1,000 trailers. All assets and employees plan to remain with the Company post-closing, including the BDL senior leadership team led by President and CEO Sam McAdow Jr.
The acquisition of BDL will bolster Kamps’ national presence to over 35 asset-based locations, 30 on-site operations, 300 partner locations, 2,300 employees, and 4,000 trailers. More importantly, it will establish a single, comprehensive, and customer-centric platform in the pallet and packaging industry that has the capabilities, commitment, and expertise to provide value to all supply chains – coast to coast.
“This acquisition will combine two successful and capable companies,” said Kamps President Mitchell Kamps. “The combination with BDL will bolster Kamps’ ability to provide today’s local, regional, and national retailers, manufacturers and distribution customers with the most diverse product line of solutions in the marketplace.”
“I am truly excited for BDL and its subsidiaries to join the Kamps organization,” added Kamps CEO, Bernie Kamps. “Sam and his family have grown their company into a major recycling pallet provider. Upon the closing, Kamps will solidify its position as one of the largest pallet recyclers in North America. The combination of our two cultures will bode well for all of our national and local customers and all of our valued personnel.”
“Kamps is a great fit for us professionally and culturally, which was important to me and the rest of our team,” said Sam McAdow Jr., current BDL President and CEO. “By combining our businesses, we believe we will be able to use best practices to continue to provide great customer service, improve operational efficiencies, and capitalize on our increased infrastructure – while maintaining great relationships with our partners and vendors.”
Upon closing, this will be the third strategic acquisition Kamps has completed in 2021 and sixth under majority ownership of private equity firm Freeman Spogli & Co. (“Freeman Spogli”). “This will truly be a transformative opportunity for both the Kamps and BDL organizations and creates a real leader in the pallet industry,” said Jon Ralph, President and COO of Freeman Spogli.
Ernst & Young Capital Advisors, LLC (“EYCA”) is the acting exclusive financial advisor to BDL in connection with the transaction.