Patterson Dental Company has announced the acquisition of Thompson Dental Company of Columbia, SC, a leading value-added distributor of dental supplies, equipment and services in the mid-Atlantic and southeastern U.S. Thompson ranks among the 10 largest dental distributors in the country.
Acquired for approximately $22 million in cash, stock and assumed debt, Thompson is expected to contribute sales of more than $50 million on an annualized basis, making it Patterson's second largest dental acquisition. The transaction is expected to be accretive for fiscal 2003. Over the balance of fiscal 2002 ending April 27, the acquisition is expected to have a neutral impact on Patterson's consolidated profitability.
The addition of Thompson, which augments the Company's existing position in the mid-Atlantic and Southeast regions, will result in Patterson possessing either the largest or a significant share of such major markets as: Baltimore, MD; Richmond, VA; Charlotte, Greensboro and Raleigh, NC; Charleston, Columbia and Greenville, SC; Atlanta, Georgia; Jacksonville, FL; and Knoxville, TN. Thompson serves its market through 14 branch offices and one distribution center.
Peter L. Frechette, president and chief executive officer, commented: "Thompson represents an excellent strategic fit with
Patterson in that both companies share a strong commitment to a
value-added, full-service approach to the dental marketplace. In
addition to strengthening Patterson's current position in these markets, this acquisition presents us with significant cross-selling opportunities by expanding the range of products and services available to Thompson's customers. We are very pleased that Thompson chose to combine their operations with ours' and are excited about the opportunities for the combined company. We welcome each and every Thompson employee into the Patterson family."
Founded in 1899, Thompson provides a wide range of consumable dental supplies, equipment and services. The company also offers proprietary practice management and clinical software, dental.com. This software suite for both front office and digital equipment applications will be incorporated into the software offerings of Patterson's EagleSoft unit. Thompson also provides its customers with computer hardware and office networking services, enabling dentists to gain the optimum benefit from productivity-enhancing digital equipment. Patterson, which is implementing a national hardware/networking initiative, believes Thompson's experience with this hardware/ networking service should accelerate Patterson's national roll-out.
