Featured image courtesy of Gexpro Services Facebook page.

Distribution Solutions Group operating company Gexpro Services has agreed to acquire Tech Component Resources Pte. Ltd. (TCR).

Terms of the transaction were not disclosed.

Singapore-based TCR is a distributor of fasteners, mechanical components and other industrial products. The company serves OEM customers and related applications with a second location in Malaysia.

“We are excited to partner with TCR to establish a beachhead operation for Gexpro Services in Southeast Asia,” Gexpro Services CEO Robert Connors said in a Sept. 24 news release. “This highly strategic acquisition allows Gexpro Services to expand our geographic footprint and pull through products and service capabilities to serve existing customers and continue to grow market share.”

Gexpro Services brands itself as a supply chain solutions provider. The company is part of DSG, which was formed in 2022 from the merger of Lawson Products, TestEquity and Gexpro.

“In addition to better serving existing customers, we have identified new target customers and verticals to expand throughout Southeast Asia,” Connors added. “Increasing our market potential with products and service offerings in these regions extends opportunities in critical end markets, including technology, semiconductor, industrial, and manufacturing.”

The acquisition is expected to close in the fourth quarter of 2024 and will be funded by DSG’s existing cash.

“This opportunity enhances the immediate and longer-term growth objectives of DSG, while exceeding our net return on invested capital targets, and drives margin accretion,” DSG Chairman and CEO Bryan King said. “We’re excited to partner with TCR and Koh Kee Hun to have a much stronger foothold in the semiconductor and other global manufacturing industries.”

DSG was No. 25 on MDM’s Top Distributor’s List of Industrial Supplies and No. 18 for MRO.