Issue Date: Vol. 43, No. 3 / March 25, 2003 - April 24, 2003 , Posted On: 3/29/2003
ROWE COMPLETES DIVESTITURE OF VENDING BUSINESS
Acquisition Of Rowe's Vending Business Adds To Automatic Products' Equipment Line
Automatic Products international ltd. and Rowe International Inc. announced the sale of Rowe's vending business to APi's affiliated company, Gross-Given Manufacturing Co. APi and Gross-Given are third-generation family-owned companies involved in the manufacturing and marketing of high-quality vending equipment since 1949.
Alan J. Suitor, president and CEO of Automatic Products international ltd. and Gross-Given Manufacturing Co., expressed his excitement for the companies and their customers. Suitor stated: "APi's mission is to produce or market products that meet or exceed the customers' expectations. The Rowe 748 Showcase merchandiser is one of the best in the industry and it completes our range as a full-line manufacturer. It affords APi a unique opportunity to greatly expand its existing product lines and markets. We can hardly wait to start producing the APi Showcase, and to offer parts and technical support for certain Rowe machines in the field." APi's sales and marketing department will be advising the marketplace on parts availability and the anticipated production dates of machines.
J. Douglas Johnson, chairman and CEO of Rowe International, is pleased that this transaction has concluded because it completes an important step in Rowe's previously announced plan to divest itself from the vending machine segment of its business. "Rowe can now continue its transformation into a domestic and international music and games entertainment business that is compatible with Rowe's new strategic initiative," Johnson said. "The company will focus on development, manufacturing and marketing of CD jukeboxes, licensed Internet-enabled digital jukeboxes, connected game terminals with tournament features and branded entertainment content. In addition, Rowe will continue to expand and improve on the changer and currency validation business (see VT Jan. and Feb.) The proceeds of this divestiture will be used to grow Rowe's entertainment business and to retire the company's senior debt."