Universal Power Group Acquires Kinetik Brand
Universal Power Group Acquires Kinetik Brand
Acquisition Adds New Products, Opens New Markets
CARROLLTON, Texas--(BUSINESS WIRE)-- Universal Power Group, Inc. (NYSE MKT: UPG), a Texas-based distributor and supplier of batteries and related power accessories, and a third-party logistics provider, today announced an agreement to acquire the brands, trademarks and intellectual property of Toledo, Ohio-based Kinetik, an industry leader in power for high-end car audio applications, from OD Distributor, LLC.
Kinetik is well known as a pioneer in the 12-volt electronics market and is one of the most sought-out brands amongst consumers and professionals alike. Kinetik is the market leader for aftermarket power installations in applications such as car audio and video, low-rider trucks, performance street vehicles and luxury applications including limousines. Through its efforts to educate consumers via lifestyle marketing campaigns, Kinetik designs and builds car audio and entertainment power cells which are capable of powering a broad range of aftermarket products, such as high-wattage audio systems, HID/LED and NEON lighting systems, hydraulics, air compressors, LCD screens and gaming systems. These types of enhanced audio and entertainment systems demand higher power output than most factory-installed power systems are capable of delivering.
"With the acquisition of the Kinetik brand by UPG, Kinetik will now have the foundation it needs to expand into compatible cross markets while enhancing its current catalog of products. This is exactly the boost we needed to step out of the niche market and into the limelight," stated Kinetik founder Shannon Harmon, who has joined UPG as Director of Kinetik Brands.
Ian Edmonds, UPG's President and Chief Executive Officer, commented: "The Kinetik brand acquisition represents another important step in the overall growth strategy for UPG and we are excited to enter this dynamic new market. The addition of the Kinetik brand enhances UPG's penetration into the automotive power accessories market through a leading brand with considerable growth opportunity, while increasing UPG's exposure to a luxury market with higher average price points. As part of UPG, the Kinetik brand will be able to leverage UPG's supply chain infrastructure and distribution channels to greatly enhance the market for Kinetik products and enable the brand to continue to lead and innovate in an arena it has developed and dominated."
About Universal Power Group, Inc.
Universal Power Group, Inc. (NYSE MKT: UPG) is a leading supplier and distributor of batteries, power accessories, security and cable products, and a provider of supply chain and other value-added services. UPG's product offerings include proprietary brands of industrial and consumer batteries of all chemistries, chargers, power accessories, solar products, wire and cable and security products. UPG's supply chain services include procurement, warehousing, inventory management, distribution, fulfillment and value-added services such as sourcing, battery pack assembly and coordinating battery recycling efforts. For more information, please visit the UPG website at www.upgi.com.
Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause the Company's actual operating results to be materially different from any historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements that explicitly describe these risks and uncertainties, readers are urged to consider statements that contain terms such as "believes," "belief," "expects," "expect," "intends," "intend," "anticipate," "anticipates," "plans," "plan," to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties described from time to time in the Company's filings with the Securities and Exchange Commission. Historical financial results are not necessarily indicative of future performance.
Universal Power Group, Inc.
Mimi Tan, SVP, 469-892-1122
Lambert, Edwards & Associates
Jeff Tryka, CFA or Karen Keller, 616-233-0500
KEYWORDS: United States North America Ohio Texas
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