CFE Industries planning to acquire Commercial Bearing Service
Edmonton, AB -- Sept. 12, 2002 -- CFE Industries is in the process of trying to acquire Commercial Bearing Service...
Edmonton, AB — Sept. 12, 2002 — CFE Industries is in the process of trying to acquire Commercial Bearing Service (1966) Ltd. through a reverse takeover offer. Both firms are based in Edmonton, Alta.
According to a report by ebearing.com, CFE shareholders approved the plan to acquire Commercial Bearing Service, as well as a plan for financing the acquisition, a concurrent 5-for-1 reverse stock split, a new board of directors, and a new company name for the combined organization. All changes and provisions are dependent upon the successful acquisition of Commercial Bearing Service.
CFE Industries, a publicly traded company founded in 1993, manufactures and distributes various industrial products via two subsidiaries, CFE Equipment Inc. and CFE Manufacturing Inc.
On March 18, 2002, CFE had issued a Letter of Intent to acquire an unnamed distribution firm for an aggregate purchase price of $14,841,234.
CFE operates seven divisions targeting their specific markets: Forestry Division (CFE Technology), Mining Division (Neville Crosby), Arborculture Division, Drafting and Media Division, Environmental Science Division, Dealer Division (Norpac), and the Security and Enforcement Division.
Commercial Bearing Service (1966) Ltd., was originally founded in 1954 as an Edmonton bearing distributor. Today, the company supplies bearings, seals, power transmission products and industrial and safety supplies to industry through 18 branches in Alberta and Saskatchewan. Revenues for fiscal year 2001 exceeded $56 million. The distributor has about 250 employees with approximately 75% in field operations and the remainder in administration and sales.
Further details on the sale are not available at this time.