POMONA, Calif., Oct. 17, 2005 (PRIMEZONE) -- Keystone Automotive Industries, Inc. (Nasdaq:KEYS) today announced it has signed a definitive agreement to acquire the assets of Veng USA, headquartered in Seekonk, Massachusetts. Veng USA recorded trailing revenues of approximately $37.1 million over the twelve months ended August 31, 2005. Terms of the transaction were not disclosed. The acquisition is scheduled to close on October 31, 2005. The closing is subject to the satisfaction of certain customary conditions.
"The acquisition complements Keystone's ongoing strategy to expand its distribution strength and capitalize on the growing demand for generic collision replacement parts. Veng USA is a highly respected leader in the collision parts industry; its products and distribution strength clearly complement Keystone's existing presence in the New England region," said Richard L. Keister, president and chief executive officer of Keystone.
Keister added that Scott Edwards, president and chief executive officer of Veng USA, will join Keystone as a vice president. "Scott is a highly regarded veteran of the automotive aftermarket industry, leading a talented management team and a group of dedicated employees. His background and experience serving on the technical committee of the Certified Auto Parts Association, a committee responsible for ensuring high quality standards for the manufacturers of collision replacement parts, will be invaluable moving forward. We are extremely pleased to welcome Scott and the entire Veng USA organization to the Keystone team," Keister said.
Headquartered in Seekonk, Massachusetts, Veng USA employs approximately 170 people throughout the New England region. It operates seven locations in Seekonk, Woburn and Sutton, Massachusetts; Manchester, New Hampshire; Manchester and Milford, Connecticut; and Auburn, Maine. Veng USA distributes a complete line of premium quality automotive collision replacement parts including fenders, hoods, bumpers, grilles, cooling and lighting products, mirrors, and wheels.
About Keystone
Keystone Automotive Industries, Inc. distributes its products primarily to collision repair shops through its 129 distribution facilities, of which 22 serve as regional hubs, located in 38 states and Canada. Its product lines consist of automotive body parts, bumpers, and remanufactured alloy wheels, as well as paint and other materials used in repairing a damaged vehicle. These products comprise more than 19,000 stock keeping units that are sold to more than 25,000 repair shops throughout the United States and Canada.
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for certain forward-looking statements. The statements contained in this press release that are not historical facts are forward-looking statements based on the company's current expectations and beliefs concerning future developments and their potential effects on the company. There can be no assurance that future developments affecting the company will be those anticipated by the company. Actual results may differ from those projected in the forward-looking statements. While the closing is subject to normal and customary conditions precedent, and the Company is not aware of any impediments to closing, there can be no assurance that the transaction will close as planned. Reference is also made to the Cautionary Statements set forth in the company's Form 10-K Annual Report filed with the Securities and Exchange Commission on June 15, 2005 for risks and uncertainties facing the company. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as the result of new information, future events or otherwise.