MONTREAL — Richelieu, a distributor of cabinet and furniture hardware and related supplies throughout North America, has been on acquisition spree that has contributed greatly to the company’s bottom line.

This strategic move aligns with RHUHF's goal to take advantage of growth opportunities presented by the current housing shortage in North America and the expected renovation market recovery in 2025.

"We are ... pleased to have completed seven new acquisitions, which will contribute to approximately $100 million in additional annual sales," said M. Richard Lord, president and CEO. These acquisitions include Olympic Forest, Panexel, and Mill Supply in Canada, and Rapid Start, Allegheny Plywood, Darant Distributing, and Midwest Specialty Products in the US.

In the 2024 fiscal year, four acquisitions were made, including the fourth quarter acquisition of Quebec-based Panexel, a distributor of conventional and high-end woodworking materials. The other company's acquired were Olympic Forest, a distributor of specialized lumber and panel products operating a distribution center located in Erin, Ontario. This was followed by the acquisition of Rapid Start, a distributor of a specialty hardware serving a customer base of manufacturers from its distribution center located in Rittman, Ohio. In March, the corporation closed the acquisition of the main net assets of Allegheny Plywood, a distributor of specialty panels and decorative surfaces, which operates distribution centers in Pittsburgh and Allentown, Pennsylvania, as well as in Cleveland, Ohio. 

After Nov. 30, 2024, three acquisitions were completed, including one in Canada, and two in the United States. The acquired company's included Mill Supply in Canada, industrial tools and supplies, and, in the U.S., Darant Distributing, a wholesale distributor primarily serving the cabinet and countertop industries, and Midwest Specialty Products, which manufactures and supplies disposable products, stone slabs, and custom packaging.

These transactions, along with the $100 million in additional annual sales, add complementary products and expertise and strengthen the corporation’s position in these different markets, the company said.

“In addition, we will use our best strengths to take advantage of the growth opportunities presented by the current housing shortage in North America. It is also expected that the renovation market will regain momentum in 2025. The kitchen cabinets, closet, storage solutions, and commercial renovation sectors remain key to our growth. Our network of 112 strategically located centers in Canada and the United States, our customer-focused business model, and our innovation and business acquisition momentum consistently reinforce our North American leadership.”

Richelieu said it achieved good results for its fourth quarter, with sales of $476.2 million, up 5.0% compared to the same period in 2023. The company added that this increase reflects the strong performance of the manufacturers' market in Canada and the United States, where sales rose 7.2% to $421.6 million, while sales to retailer and renovation superstores market were down 9.7%. In Canada, sales amounted to $275.4 million ($190 million U.S.), up 2.9%, while in the United States, they reached $145.9 million, up 7.1%. 

“We are very pleased with our sales of $1.8 billion for the 12 months of 2024, even though the renovation market was marked by a significant slowdown,” said Lord.