Global Fastener News

2010 FIN  Fastenal to Buy Holo-Krome From Danaher

Fastenal Company agreed to acquire certain assets of socket head screw product manufacturer Holo-Krome. Terms were not disclosed.

Holo-Krome was part of Danaher’s Tool Group, which includes Matco Tools, Jacobs Chuck Mfg., Delta Consolidated Industries, Jacobs Vehicle Systems and Hennessy Industries.

During the first nine months of 2009, sales at Danaher’s Tools and Components segment, including fasteners, fell 21% to $772.2 million, while operating profit declined 25% to $95.3 million.

Holo-Krome’s 2008 sales total less than 1% of Fastenal’s $2.34 billion in 2008 sales.

“The Holo-Krome brand has been synonymous with quality and reliability for 80 years,” Fastenal CEO Will Oberton commented. “We believe it will be an excellent addition to Fastenal’s expansive product offering and aligns very well with our mission of ‘Growth through Customer Service.'”

Fastenal was quick to tamp down concerns about Holo-Krome’s current distribution network and existing facilities.

Fastenal CFO Dan Florness told Industrial Distribution that Fastenal plans to grow the Holo-Krome business, so the acquisition won’t affect current distributors or force layoffs or facility consolidations.

“They have a great name in the industry, they’ve been around a long time, they have great products, they’re known for their quality and we think it’s a great business to service our customers’ needs,” Florness said.

Cory Jansen, executive vice president of internal operations, will oversee the Holo-Krome business. Fastenal’s manufacturing division is comprised of five facilities and represents about 5% of overall business. Holo-Krome adds one facility and about 100 employees to Fastenal.

“This is a great opportunity for Holo-Krome to continue its legacy,” Holo-Krome national sales manager Charles LaBove said. “Armed with Fastenal’s deep desire to add investment, we’re looking forward to providing an expanded product offering to serve new and existing customers.”

Founded in 1929, West Hartford, CT-based Holo-Krome manufactures grade 12.9 socket screw products.

Winona, MN-based Fastenal operates more than 2,350 stores in all 50 states and Canadian provinces; Puerto Rico; Mexico; Singapore; Netherlands; Hungary; Malaysia; and China. Fastenal has 14 distribution centers in 10 U.S. states, Canada and Mexico. ©2010 GlobalFastenerNews.com

March 23, 1987 FIN – High performance socket screw manufacturer Holo-Krome Co acquired the product lines of wrench-manufacturer Allen Manufacturing.
This should come as no surprise since the companies became part of the same family in October 1986 when the Danaher Corp. acquired Western Pacific, the parent company of Holo-Krome, Danaher had acquired Chicago Pneumatic, the parent company of Allen, last summer.

The alliance represents a strong domestic source for socket screws and wrenches. James Emilio, vice president of marketing at Holo-Krome, cites three reasons. “First of all,” Emilio told FIN, “the name recognition of Allen hand tools combined with Holo-Krome’s reputation…creates a stronger product line. Second, the purchase of Allen’s entire line – keys, Allenuts, Bit-Loks – in conjunction with our full range of products results in the most complete line in the business. Third, the Allen line will be improved.”
With the elimination of fastener imports, all Allen products will now be manufactured at the Holo-Krome plant in West Hartford. CT, Emilio announced. “We will furnish single source manufacturing for both fasteners and wrenches.”

That third point may be of interest because Allen decided to import its fastener from Japan a few years back, and got out of manufacturing.

Emilio also told FIN that the West Hartford plant will stamp Allen and Holo-Krome trademarks on individual pieces (“Allen” on the wrenches and “H-K” on the fasteners) to discourage counterfeiting and guarantee traceability.

Emilio said that packaging and advertising will be developed to cross-sell both lines with distributors greatly benefiting from the ability to offer both product lines.

The management team at Holo-Krome includes Nicholas J. Hartman, president; James. F. Frazer, executive vice president; Fred A. Bononi, vice president operations; and Emilio.
Founded in 1929, Holo-Krome operates another domestic plant in Orange, California and has affiliates in Dundee, Scotland; Birmingham, England; and Melbourne, Australia. The company’s headquarters are at Brook St., West Hartford, CT 06110. ©1987/2010 Fastener Industry News

Related Links:

• Holo-Krome