CHICAGO--(BUSINESS WIRE)--Dec. 18, 2018--
Lawson Products, Inc., (NASDAQ: LAWS)a distributor of
products and services to the MRO marketplace, today announced that an
affiliate of LKCM Headwater Investments, the private equity arm of
Luther King Capital Management, has agreed to acquire the remaining
1,713,787 shares of Lawson Products common stock owned by Dr. Ronald
Port and Mr. James Errant, both members of the founding family of the
company, and their affiliates and related parties.
LKCM Headwater Investments has agreed to acquire the shares at $32 per
share, increasing the collective ownership of LKCM Headwater Investments
and other affiliates of Luther King Capital Management from
approximately 29% to approximately 48% of total shares outstanding. The
transaction is expected to close early in the first quarter of 2019.
Lawson Products will not receive any proceeds from the transaction.
“I want to thank the Port family for their long commitment to Lawson and
their collegiality with us as we built our investment position and
assumed a role on the board, and also for embracing our investment firm
to be a strong, more engaged partner with robust resources to help
management accelerate growth in operating income and shareholder value
creation at Lawson. We view Lawson Products as an extremely
well-positioned industrial distributor with a high-touch, service
focused, differentiated customer value proposition, poised for continued
strong organic and inorganic growth. This additional investment
underscores our commitment to the company’s long-term vision and
strategy and strong belief that our industrial distribution resources
can be a great asset to the company’s existing leadership and
shareholders,” commented J. Bryan King, CFA and a Principal of Luther
King Capital Management and Managing Partner of LKCM Headwater
“I want to thank both Ron and Jim for their years of service, leadership
and many contributions as long-term investors and board members," said
Michael DeCata, president and chief executive officer. “We’re excited
about Luther King’s increased commitment to our organization and their
support as we continue to execute on our growth strategy of driving
organic growth, accelerating profitability while pursuing disciplined
About Luther King Capital Management and LKCM
Luther King Capital Management is an SEC-registered investment advisory
firm headquartered in Fort Worth, Texas and founded by J. Luther King,
Jr. in 1979. LKCM provides investment management services to investment
companies, foundations, endowments, trusts and estates, pension and
employee benefit plans, and high net worth individuals. As of September
30, 2018, LKCM had approximately $16.4 billion in assets under
management. LKCM Headwater Investments serves as the private equity arm
of Luther King Capital Management. Please visit www.lkcm.com
for additional information about Luther King Capital Management and www.lkcmheadwater.com
for additional information about LKCM Headwater Investments.
About Lawson Products, Inc.
Founded in 1952, Lawson Products, Inc., headquartered in Chicago, IL,
sells and distributes specialty products to the industrial, commercial,
institutional and government maintenance, repair and operations market
(MRO). The company is dedicated to helping customers in the U.S. and
Canada lower their total cost of operation by increasing productivity
and efficiency. The combination of Lawson Managed Inventory and the
company’s problem-solving professionals ensures customers always have
the right parts to handle the job. Through The
Bolt Supply House, customers in Western Canada have access to
products at several branch locations. Under its Kent
Automotive brand, the company provides collision and mechanical
repair products to the automotive aftermarket.
Products ships from several strategically located distribution
centers to customers in all 50 states, Puerto Rico, Canada, Mexico, and
For additional information, please visit https://www.lawsonproducts.com/
This Release contains certain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 that
involve risks and uncertainties. The terms "may," "should," "could,"
"anticipate," "believe," "continues," "estimate," "expect," "intend,"
"objective," "plan," "potential," "project" and similar expressions are
intended to identify forward-looking statements. These statements are
not guarantees of future performance and involve risks, uncertainties
and assumptions that are difficult to predict. These statements are
based on management's current expectations, intentions or beliefs and
are subject to a number of factors, assumptions and uncertainties that
could cause or contribute to such differences or that might otherwise
impact the business and include the risk factors set forth in Item 1A of
the December 31, 2017, Form 10-K filed on February 22, 2018. The Company
undertakes no obligation to update any such factor or to publicly
announce the results of any revisions to any forward-looking statements
whether as a result of new information, future events or otherwise.
View source version on businesswire.com: https://www.businesswire.com/news/home/20181218005185/en/
Source: Lawson Products, Inc.
Lawson Products, Inc.
Ronald J. Knutson
President and Chief Financial Officer