Galaxy Balloons Acquires AGA Assets
November 5, 2009
Completing its fourth acquisition in 10 years, supplier Galaxy Balloons Inc. (asi/55675) has purchased the related assets of Ohio-based AGA Balloons (asi/30119). Financial terms of the deal were not disclosed. Announced this week, the deal was first discussed this past summer. "This is a move that made sense and we think it will be an easy transition," said Terry Brizz, president of Galaxy Balloons. "We had an opportunity to increase market share and we can now offer some products we didn't have before."
As part of the deal, Galaxy purchased AGA's related equipment, inventory, customer list and Web site. AGA's production and printing equipment will be relocated from its headquarters in Ashland, OH, to Galaxy Balloons' 100,000 square foot facility in Cleveland. While AGA now plans to focus on its core business of balloon printing equipment, the company will remain in the ad specialty industry, producing memo pads, mugs, computer accessories and similar products. "Galaxy Balloons is an excellent company," said Steve Gardner, president of AGA. "We feel confident that they will continue to offer the same high quality products and service that we have strived to maintain throughout the years."
According to Brizz, Galaxy's sales have slipped 10% in 2009. Still, Brizz is "cautiously optimistic" that the industry will see an overall uptick soon. "I believe ad specialties are very viable and effective," Brizz says. "I think the next six weeks will be an indicator of what's to come."
Employing 100 workers, Galaxy produces balloons, beach balls, sports balls and equipment, as well as holiday ornaments.