Grimes, IA-based Ryko Solutions Inc. has announced that it has entered into a purchase agreement in terms of which Ryko will acquire MacNeil Wash Systems Ltd. of Barrie, Ontario, Canada, a supplier to the tunnel car wash segment of the industry. Details of the transaction, which will close April 1, were not disclosed.
The MacNeil brand name will remain intact, as will the companys manufacturing facilities in Canada. MacNeil will operate as a subsidiary of Ryko Solutions, retaining its staff, expertise, and operating flexibility. Vince MacNeil, former CEO of MacNeil Wash Systems, will join the board of directors at Ryko.
The union of these two well-respected companies combines over 70 years of industry experience, innovations, and resources. For Ryko, it presents an opportunity to more than double the companys addressable market through the addition of complementary product lines.
This is an important event in our industry. While there have been previously announced consolidations among industry suppliers, this is the first that involves two independently strong industry players who are enjoying healthy growth, explained Steven LHeureux, CEO of Ryko. By leveraging Rykos larger R&D and marketing organizations, we see a tremendous opportunity to dramatically expand MacNeils market share.
Rykos customers will enjoy new equipment options through direct access to MacNeil products. Traditional MacNeil customers will have expanded choices through their MacNeil distributors supported by Rykos end-to-end solutions, including the car wash industrys largest technical service network, and local parts warehoused throughout the United States. Customers will also benefit from a larger choice of industry accessories and support systems including water recovery programs and state-of-the-art activation and payment devices along with a new line of tunnel-specific cleaning products.
This alignment of our business with Ryko allows us to continue our vision of delivering well-engineered car wash solutions that will bring sustainable profit to our customers, stated Vince MacNeil.