The Melville catalog tool sales company MSC Industrial Direct Co., Inc. on Tuesday said it has agreed to buy a California metalworking distributor in an $11 million cash deal that adds to its West Coast network.
It expects the acquired company, Rutland Tool & Supply Co., of Whittier, Calif., will add to MSC's earnings by late fiscal 2011 or early 2012.
Rutland was founded in 1955. It sells industrial and cutting tools and machines; abrasives and precision supplies. With more than 100,000 items distributed through catalogs, the Internet and showrooms, Rutland serves 20,000 customers including industrial machine and metalworking shops; and maintenance and repair facilities.
In 2009 Rutland had revenue of $33.7 million. It has showrooms in City of Industry, San Jose and Chatsworth, Calif.; Reno, Nev.; and Phoenix, Az. It offers one-day shipping to most of California and Nevada; to high-population areas of Arizona; and to the Portland, Ore., and Seattle, Wash., areas.
MSC trades on the New York Stock Exchange, where it closed Tuesday at $58.22. With a market capitalization of $3.65 billion, it made a $149 million profit on revenue of $1.69 billion in its most recent fiscal year ended Aug. 28.
MSC Industrial Supply's Big Book catalog for 2010-2011 lists 500,000 items, including supplies for emergency preparedness, maintenance and repair — especially for schools and colleges — and metalworking tools.