Danks will acquire a majority interest in the shares of Hardings Hardware.
The company will take a 60 per cent interest with the option to acquire the balance by 2015. The acquisition involves six sites across three states with two locations each in Melbourne and Brisbane and one in Geelong and Adelaide. Sites will transition into the Danks ‘company stores’ division.
The acquisition will see Danks expand its trade-focused company store footprint into Queensland and South Australia.
A joint venture board has been established to oversee strategic and operational activities, represented by chairman Mark Burrowes, Glynn Wright, CEO Greg Skene and David Harding. All employees, including senior management, will remain in the business.
According to Burrowes, the acquisition is in line with Danks’ stated objectives to strengthen and grow its trade focus.
“As a specialist trade-based supplier to the building industry, Hardings Hardware is an ideal fit with our strategic trade model. It offers a terrific opportunity to further develop the Danks store network and strengthen our trade presence in key markets,” he said.
Danks is a wholly owned business of the Home Improvement joint venture (JV) between Woolworths Limited and Lowe’s Companies Inc
“It is exciting times for Hardings Hardware. Partnering with Danks and Woolworths provides the support and resources so we can continue to grow the business for the benefit of our customers, staff and suppliers. I am particularly excited with the opportunity for staff to become part of a much larger organisation exhibiting such strong growth,” Robert Harding, Hardings owner, said.