DELPHOS, Ohio — K&M Tire Inc. is growing again, agreeing to buy Cadillac Wholesale Tire Inc. of Cadillac, Mich.
The purchase will be effective July 15. Terms of the deal were not disclosed.
Delphos-Ohio based K&M Tire called Cadillac Wholesale Tire one of the Michigan's leading distributors of passenger, light truck, truck and farm tires. K&M said it plans to service its new customers from Cadillac's existing warehouse, a 25,000 sq.-ft facility located in Cadillac.
"This acquisition helps the independent dealers accessibility to a larger proliferation of SKUs and opens up the door to a vast array of tools to help the dealers with their own commitment to continuous improvement," K&M said in a statement.
It is expected that K&M will offer Cadillac employees the opportunity to stay with the K&M, as it as done with previous acquisitions.
K&M said will integrate the new warehouse into its inventory/logistics system, allowing for same day and/or next day service from multiple different K&M distribution centers.
In a statement, K&M said both companies have "similar cultures of quality, service and continuous improvement." Cadillac Wholesale customers, K&M said, will be better serviced because of K&M's additional warehouses and products, while dealing with the same people at Cadillac.
K&M declined to identify Cadillac Wholesale Tire's owners.
Once the acquisition is complete, K&M Tire will operate 30 wholesale distribution locations serving customers in 27 states. The Cadillac DC will be K&M's third in Michigan.
"Our vision is to be the leading and most trusted provider of tires and services in all of our geographic markets," K&M said in a statement.
Adding a third DC to the state of Michigan exemplifies our dedication to continuous improvement, and will help by providing our customers with quality products at competitive prices with fast, friendly service."
K&M will celebrate its 50th anniversary next year.
In 2018, the wholesaler registered sales growth of nearly 15%, marking the fifth-straight year of double-digit growth, according to K&M President Cheryl Gossard.