Acme United Acquires Canadian First Aid and Safety Supplier

Acme United’s (US:ACU – $23.45) management had been hinting for a while that a new acquisition might be on the way. This week, the worldwide supplier of cutting devices, measuring instruments and first-aid products opened up the Canadian first aid market thanks to the acquisition of First Aid Central (FAC), a Canadian owned and operated manufacturer of first aid kits and safety supplies.

In business for over 12 years, FAC is a provider of cost effective first aid products for individuals and businesses in every industry. FAC generated approximately C$4.3 million in revenues in 2019. Although an acquisition price was not disclosed, Acme United did mention that it expects FAC to be accretive in 2020.

What makes this acquisition so attractive – next to the financial aspect – is the fact that FAC holds a valid Medical Device Establishment License issued by Health Canada. This requirement helps to ensure that certain regulatory requirements and procedures are in place with regards to the medical products that FAC offers in Canada.

This license is hard to obtain and truly opens many doors in Canada for Acme United. Several of Acme’s multinational customers that already purchase first aid products in the United States, can now also be served in their Canadian branches. After all, regulations regarding medical products are very strict and differ significantly country by country.

First Aid Central’s first aid kits can be found in many retailers across Canada. In addition, hundreds of companies rely on the first aid kits and products to protect their employees in the workplace.

A Complete Line Of Comprehensive First Aid And Emergency Kits

Based in Laval, Canada, FAC produces and sells a complete line of first aid kits, refills, and safety products that cover all personal and industrial needs as well as provincial and federal regulations.

While FAC ensures that its products are of the highest standard, its national accounts and re-sellers, benefit from receiving competitive preferred distributor pricing. Some of its products include:
• CPR Kits – A variety of single use CPR kits to defibrillators.
• First Aid Kits – Personal use first aid kits.
• Sports Kits – Ideal for the active person or for sports teams.
• Automotive Safety Kits – Assortment of first aid and automotive emergency supplies.
• Emergency Preparedness Kits for flooding, fire, hurricane or earthquake.
• Pet First Aid kits.

Walter C. Johnsen, Chairman and CEO of Acme United, commented on the acquisition by saying, “We are delighted to bring First Aid Central and its talented team of employees into our organization. We intend to use the Laval location to expand production. We believe our global customers will benefit from local production and service of our product line in Canada.”


Acme United has been in the first aid and safety business in the U.S. for over 40 years, selling under the First Aid Only, PhysiciansCare and Pac-Kit brands. It has a customer base of safety and industrial distributors, service fleets, mass market retailers, and office supply superstores and dealers.

The fact that FAC’s products meet federal Health Canada and provincial regulatory requirements is crucial in this acquisition, as it gives Acme United access to the vast Canadian market. This will surely help grow the Company’s first aid related revenues further.

Moreover, Acme has a history of rapidly integrating acquisitions in its existing structure. We have every reason to believe it will be identical this time around.

A final advantage of the acquisition is that it will give the financial results of Acme’s Canadian division a significant boost. Smallcaps Recommendation: BUY. Advice: BuyPrice Target: $59.86Latest Company Report (pdf)
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