Bush Industries has new ownership, as Novacap, a Canadian private equity firm, has acquired the ready-to-assemble furniture maker through its portfolio company Bestar, a ready-to-assemble furniture manufacturer with plants in Lac-Mégantic and Sherbrooke, Quebec.
Michael Evans, Bush president and CEO, will serve in the same role at the combined company.
The headquarters of Bestar-Bush will be in Sherbrooke, Québec. Novacap emphasized that Bush and Bestar have more than 130 years of combined history in the RTA furniture industry and consolidated sales of $200 million.
Novacap pointed out that the companies share some customers across the North American market and will leverage each other’s strengths to continue accelerating their current growth. The merged companies will have a large and growing product offering across several segments, quick shipment and delivery capabilities, and an expansive team of e-commerce marketing and sales specialists.
Evans said, “While we will see some savings from efficiencies once the companies are integrated, our main objective for the combination will be to further expand our product assortment, leverage our nationwide quick shipping capabilities and our global manufacturing and sourcing footprint to further accelerate the rapid growth we are both experiencing. Our customers will see little to no change in direction as we move forward. We will continue on our rapid pace of new product and category introductions. We will continue to hone and speed up our distribution services, and we will add supplementary warehouse locations during 2020 in order to answer our clients’ needs.”
Frederick Perrault, senior partner at Novacap and Bestar’s chairman of the board, noted, “Bestar’s goal is to concentrate their efforts on e-commerce solutions for home/office furniture. Bestar’s and Bush’s leadership teams see a significant and fast-growing market opportunity for furniture sold online and shipped directly to the end consumer. This emerging business model provides furniture consumers a convenient, rapid and affordable shopping solution.”