Hanes Geo Components Reaches Agreement to Acquire Nilex, Inc.
Hanes Geo Components, a wholly owned subsidiary of Leggett & Platt, has reached an agreement to acquire the majority of the business and assets of Edmonton based Nilex Inc. and its wholly owned subsidiary Nilex USA Inc. with a view to continuing to operate Nilex’s business on a going-concern basis. Nilex specializes in the distribution of products used for erosion control, stormwater management, subgrade stabilization, gabion systems, engineered walls, and the installation of containment liners. The transaction is subject to court approval in Canada and the US.
Under the proposed agreement, Nilex’s Canadian operations will be consolidated under Terrafix Geosynthetics, Inc. Founded in the 1970’s, Terrafix and Nilex were both pioneers in the distribution of geosynthetic materials. David Fuerth, President of Terrafix Geosynthetics, stated, “Nilex has long been a leading distributor of geosynthetics in Western Canada. We are excited to join forces and to provide the Nilex team a stable foundation from which to revitalize their growth efforts.” Nilex’s US operations will be consolidated under Hanes Geo Components, strengthening both companies’ ability to service the Colorado and Utah markets.
Speaking on behalf of the Nilex team, CEO Trevor Derksen stated, “Leggett & Platt have demonstrated a commitment to a sustained growth strategy within our industry. With Leggett & Platt support, Hanes is an ideal strategic buyer for Nilex. We are excited about the prospects of moving forward working with the Hanes and Terrafix teams. It’s been a pleasure getting to work with the entirety of the Leggett & Platt teams, and we are excited about what the future holds.”
Terrafix Geosynthetics is a subsidiary of Hanes Geo Components, an industry leader, distributing geotextile, erosion control, and home and garden products throughout North America. Hanes Geo Components is a business segment of Hanes Companies, a wholly owned subsidiary of Leggett & Platt. With 2021 revenues of $5.1 billion, Leggett & Platt (NYSE: LEG) is a diversified manufacturer that designs and produces a broad variety of engineered components and products that can be found in most homes and automobiles. The 139-year-old Company is comprised of 15 business units, approximately 20,000 employees, and over 130 manufacturing facilities located in 17 countries.