A landmark transaction in the electrical supply industry is another step closer to completion.

Independent distributor buying groups AD and IMARK Electrical announced July 8 that IMARK Electrical’s shareholders voted earlier that day overwhelmingly in approval of the group’s merger with AD, previously announced on June 4.

A news release stated that the transaction is scheduled to close later this year and is subject to customary closing conditions. 

Terms of the deal haven’t been shared.

The groups noted that their merger “signifies the strengthening of the independent electrical channel” and that both IMARK Electrical and AD are excited about the anticipated benefits the merger will bring to Independents and the supplier community.

Framed as a merger of equals, the combination is set to result in an entity within AD called The Independent Electrical Supply Division, U.S. (IESD), which will become part of AD’s more than 1,400 independent distributors that span nine construction and industrial supply verticals and 14 divisions across North America.

“Industry response to the merger announcement has been universally positive within the AD and IMARK Electrical distributor communities and within the electrical supplier community,” IMARK Electrical President and CEO Bob Smith said in the news release. “This is absolutely seen as ‘the right move at the right time’ and the vote reflected that. We’re excited about building the future AD Independent Electrical Supply Division and appreciate our mutual Boards’ strategic input and guidance throughout this process.”

AD and IMARK Electrical represent a combined 725 independently-owned electrical distributors in the U.S.

“In talking to fellow IMARK Electrical members, we feel strongly that this merger will combine the best of both organizations and deliver positive results that will strengthen both AD and IMARK Electrical members and suppliers for years to come,” added John Thompson, CEO of First Electric Supply and IMARK Electrical Board Chairman. “We’re looking forward to closing the merger later this year and to officially joining the AD community.”

The pending merger was discussed at length during the Electrical Distributors portion of MDM’s 2024 Top Distributors webcast, which aired June 13 and is available on-demand here. That discussion spans 41:37-45:20 in that video.