S&S Activewear (PPAI 256121, Platinum) – the No. 5 supplier in the PPAI 100 – has announced the completion of its acquisition of alphabroder (PPAI 156993, Platinum) – the No. 2 supplier in the PPAI 100.
- Based on alphabroder’s 2023 revenue, this acquisition could put S&S Activewear’s revenue this year at more than $4 billion, potentially unseating SanMar as the No. 1 supplier in the promotional products industry.
S&S Activewear CEO Frank Myers will continue to lead the combined company, with support from alphabroder CEO Dan Pantano through the integration process. For now, S&S and alphabroder continue to go to market under their respective brand offerings backed by their existing distribution channels.
“Today marks the start of an exciting new chapter for our company, as we build on the unique strengths of S&S and alphabroder to enhance the customer experience, strengthen our relationships with our industry partners and continue to invest in growing our sales force and technology capabilities,” Myers says.
- In an email to customers, Myers said that the combined company will lead to a greater investment in customer support capabilities, a more robust and reliable supply chain and an even stronger portfolio of in-demand brands and products.
“We’re pleased to officially join with S&S and kick off the integration process,” Pantano says. “Together, we’re focused on building on our business momentum while continuing to exceed the expectations of our customers and our partners as we begin our next phase of growth as a combined company.”
- The merger, which joins two of only three companies in the industry with annual sales in excess of $2 billion, is arguably the most substantial example of the industry’s increasing consolidation.
What Distributors Can Expect
S&S Activewear has also announced that it will gradually exit the apparel decorating business – a service that alphabroder offers – with the expectation that this will be completed by the end of March 2025.
- Hard goods decoration will remain an important offering for the alphabroder brand, and customers can continue to access those products and services through their existing channels.
- Going forward, S&S Activewear plans to create a standalone hard goods decoration business division that will be led by a general manager and supported by a dedicated sales and service team.
“By sharpening our focus on our core apparel business, we can dedicate additional resources to the products and services that make S&S the partner of choice in our industry,” Myers said. “As we progress through integration planning, we’re committed to active communications and engagement with our customers along the way.”
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S&S Activewear’s acquisition of alphabroder will build on its significant investments in its North American network and footprint. Since 2015, S&S Activewear has established twelve distribution centers, creating a nationwide coverage network to serve 99% of the United States, Canada and Puerto Rico within two days.
- As a combined business, S&S Activewear will focus on advancing its sustainability efforts, which has included the adoption of solar energy technology, high-efficiency LED lighting, water efficiency and recycled packaging across the organization.