Background

  • DC Advisory served as the exclusive financial advisor to Okabe Co., Ltd. (Okabe) on its acquisition of Vimco Manufacturing from Vimco, Inc.

  • Okabe, based in Tokyo, Japan, is a full-service manufacturer and distributor of concrete construction supplies, fasteners of all types, and other products such as battery terminals

  • Okabe’s direct subsidiary in the US, OCM Inc. (OCM), focuses on serving concrete forming dealers throughout the US market

  • Vimco Manufacturing, based in Pennsylvania, US, specializes in the manufacturing of concrete construction products such as bar supports, snap ties, coil ties, dowel baskets and wire mesh for the roadway-infrastructure and construction markets

  • Vimco, Inc. is one of the suppliers of OCM and the two companies have maintained a strong business relationship for many years

Process

  • Okabe engaged DC Advisory to assist in the transaction process arising from its interest in acquiring Vimco Manufacturing

  • DC Advisory advised Okabe and led all transaction negotiations and discussions with Vimco, Inc., including structuring considerations, process tactics and value discussions in the context of a competitive transaction process

Outcome

  • Okabe entered into an asset purchase agreement with Vimco Inc. to acquire the assets of Vimco Manufacturing

  • The transaction closed on 6 October 2021

  • The acquisition expands Okabe’s presence in the US market, providing complementary manufacturing capabilities to Okabe’s current activities conducted through its US subsidiary, OCM Inc

“Due to the nature of the relationship between OCM Inc. and the seller, there were some unique challenges that both sides had to overcome. Matt Storkman and the DC Advisory Team did an outstanding job of analyzing these challenges and explaining the complexities so that both sides could agree and ultimately resolve any issues. After many years of trying to close this deal, we give Matt and the DC team a lot of credit for finally bringing it to the finish line.”

Andy Cramer
President, OCM Inc.

“It has been an honor to assist Okabe in completing this important transaction, allowing Okabe to capitalize on growth in US infrastructure investment. We look forward to seeing more growth and success for Okabe, OCM and the US manufacturing business in the years ahead."

Matt Storkman
Director, DC Advisory US