Business
Lakeland Industries Completes Acquisition of LHD Group
Strategic Acquisition Enhances Lakeland's Global Presence and Fire Service Offering HUNTSVILLE, AL / ACCESSWIRE / July 1, 2024 / Lakeland Industries, Inc.
About this update from Lakeland Industries, Inc.
[{"type":"text","content":"Strategic Acquisition Enhances Lakeland's Global Presence and Fire Service Offering HUNTSVILLE, AL / ACCESSWIRE / July 1, 2024 / Lakeland Industries, Inc. (NASDAQ:LAKE), a leading global manufacturer of protective clothing for industry, healthcare, and first responders, announced today the successful completion of its acquisition of the fire and rescue business of LHD Group Deutschland GmbH and its subsidiaries in Hong Kong and Australia (collectively, \"LHD\") in an all-cash transaction valued at approximately $16.3 million subject to post-closing adjustments and customary holdback provisions.LHD is a leading provider of firefighter turnout gear, accessories, and personal protective equipment cleaning, repair, and maintenance, with an annual revenue of approximately $27 million. LHD has 111 employees worldwide and is headquartered in Wesseling, Germany, with operations in Hong Kong and Australia.Strategic Rationale and Benefits:Expansion of Global Fire Services Footprint: The acquisition significantly strengthens Lakeland's position in the global fire services market by adding LHD's premium product and services portfolio and complementary geographic footprint. This strategic move enhances Lakeland's ability to serve customers in Germany and Australia, two of the three largest fire markets in the world, as well as the Asian region, with an expanded range of high-quality fire and rescue gear and services.Introduction of Fire Suit Services: LHD Care provide a holistic approach to protective clothing maintenance, including laundry services, repairs and sample production. This offering ensures the longevity and effectiveness of firefighting gear and introduces an attractive recurring revenue stream that Lakeland plans to leverage and expand.Enhanced Product Portfolio: LHD's product range, which includes structural, wildland, and industrial fire and rescue gear, technical rescue equipment, and station wear, complements Lakeland's existing fire services offerings. This expanded portfolio allows Lakeland to better meet the diverse needs of firefighters and first responders worldwide.Retention of Skilled Workforce: LHD's existing staff and core management team across Germany, Australia, and Hong Kong will remain in place and integrate with the global Lakeland team. This continuity ensures ongoing high-quality service and support for LHD...