3M Buys Meguiar`s

[Bobby G]

3M to Acquire Meguiar`s Inc.



ST. PAUL, Minn.--(BUSINESS WIRE)--3M announced today it has entered into an agreement to acquire Meguiar’s Inc., the 100-year-old family business that manufactures the leading Meguiar’s brand of car care products for cleaning and protecting automotive surfaces. Terms of the transaction were not disclosed.



Meguiar’s brings its renowned products and proud history�from its beginnings providing Mirror Glaze polishes and waxes for professional use to today’s top-of-the-line products for everyone dedicated to maintaining a brilliant finish on their vehicles�to 3M’s range of automotive aftermarket products. Meguiar’s products include waxes, polishes, cleaners, conditioners and protectants for the automotive and marine markets.



“The addition of Meguiar’s builds on our professional offering for the automotive industry and brings the expertise of Barry Meguiar in the growing enthusiast market for car care products,� said Ian Hardgrove, vice president, 3M Automotive Aftermarket Division. “Together, Meguiar’s and 3M will collaborate to deliver even more innovative high performance products for enthusiasts around the world.�



Car enthusiasts know Meguiar’s not only for its products but also for its presence at thousands of car shows across the country featuring every type of collector car from hot rods and muscle cars to exotic sports cars to vintage classics. Through Meguiar’s internationally syndicated, multimedia broadcasting network, people with a passion for cars can experience major automotive events and the latest collector car hobby news.



“Combining with 3M will greatly enhance our ability to serve and support Car Crazy people on a global basis,� said Barry Meguiar, president and CEO, Meguiar’s Inc. “We are excited about the opportunity to grow our business by joining forces with one of the world’s great global companies�working together to increase our support of the car hobby worldwide.�



3M’s Automotive Aftermarket Division provides a comprehensive line of 3M products for auto body repair professionals and auto enthusiasts. Products include abrasives and accessories, performance cleaning products, waxes, masking tapes, panel bonding adhesives, general adhesives coatings and sealers, paint finishing polishes and compounds, and paint application systems. Complementary acquisitions such as this support 3M’s growth strategy to strengthen its core businesses and expand into adjacent markets.



Meguiar’s is headquartered in Irvine , Calif. , and employs approximately 115 people. The transaction is expected to be completed in the fourth quarter subject to customary closing conditions, including regulatory approvals.



Sawaya Segalas & Co., LLC acted as exclusive financial advisor to Meguiar`s Inc.



About Meguiar’s Inc.



For over 100 years, Meguiar’s Inc. has been providing Car Crazy people with specialized state-of-the-art formulations for making the appearance of cars “show car perfect.� Chosen by 20 out of 24 “Best of Class� winners at the 2008 Pebble Beach Concours d’Elegance, Meguiar’s provides highly specialized products for every automotive surface, including paint, wheels, tires, and interiors. As part of its passionate support for the car hobby, Meguiar’s sponsors more than 11,000 car shows globally and produces Meguiar’s Car Crazy Television and Radio that represent car enthusiasts worldwide.



About 3M



A recognized leader in research and development, 3M produces thousands of innovative products for dozens of diverse markets. 3M’s core strength is applying its more than 40 distinct technology platforms – often in combination – to a wide array of customer needs. With $24 billion in sales, 3M employs 79,000 people worldwide and has operations in more than 60 countries. For more information, visit 3M Worldwide.

[imported_Yal]

Whoah! Hello!

[Bigpoppa3346]

WOW!



I wonder how or if this will affect pricing and product selection.

[gbackus]

Looks like 3M also purchased "The Edge" recently as well, wonder who is next.

[bookeem]

hmmm will this end up a good or bad thing..



soon to be everything owned by 3m..like there money isnt long enough already..:grinno:

[Bobby G]

WOW!



I wonder how or if this will affect pricing and product selection.

You should expect pricing to go up in November by 10-15% regardless.

[David Fermani]

Interesting. I was told that 3M`s Aftermarket division is doing really bad the last few years. There`s actually been a hiring freeze for over a year because of it. The body shop business is very slow and flooded with inferior/cheaper products that affects 3M`s market share daily. I hope Meg`s will allow them to become more competitive.

[gmblack3]

Interesting. I was told that 3M`s Aftermarket division is doing really bad the last few years. There`s actually been a hiring freeze for over a year because of it. The body shop business is very slow and flooded with inferior/cheaper products that affects 3M`s market share daily. I hope Meg`s will allow them to become more competitive.

David, Will that "force" 3M into producing lower cost/inferior products? I hope not. I realize the body shop business is much larger then what we do. Maybe its a good idea to stock up on a few more bottles of 3M ECC. :think:

[imported_Denzil]

Whoa, I initially only had heard that 3M acquired Edge but now Meguiar`s? This is some pretty crazy news. I hope it`s for the best.

[BigAl3]

i believe this is more of a partnership and each will help the other in different markets. no need to worry, megs isn`t going anywhere...

[Old Pirate]

Yep prices will go up soon, better stock up because someone has to pay for the buyout of Meg`s.

[Pats300zx]

WOW..shocking news..

[qwertydude]

I hope they don`t get "absorbed" in the corporate sense that all meg`s products just become repackaged lower tier 3M products at the meg`s prices so that you get "upsold" into getting the real deal. And megs just came out with their super micro abrasive technology, I bet 3M just wanted that stuff for themselves.

[David Fermani]

David, Will that "force" 3M into producing lower cost/inferior products? I hope not. I realize the body shop business is much larger then what we do. Maybe its a good idea to stock up on a few more bottles of 3M ECC. :think:

Unfortunately, it already exists in their bulk line of chemicals. They cater these products to dealers and body shops. Not impressive in any way. Although I`ve been told their new Perfect-It Rubbing Compound is getting lots of negative feedback from shops, I`d still stock up on Extra Cut.

[Junebug]

I worked for a small electronics company that through the brainless management got itself bought and sold twice. Our new owners - Eaton Corp - started off all nice and everything and it soon became apparant that they were just in it for the money. They`re changed our software to the point we`re two steps backward, they got rid of seasoned field engineers and sales staff - that would later join our competitors and reduce our profits in several large markets. THe thing I hate about them is the "we`re Eaton - we do it this way, forget you and how you use to do it" Yeah buddy, going from 44% profit on service to under 10, yeah, you know what you`re doing - *******es!



Lets hope Megs does better!