Hospeco Brands Group Purchases Assets of Supply Source Enterprises

Hospeco Brands Group has announced that it has entered into an asset purchase agreement (“APA”) with Supply Source Enterprises (“SSE”), comprised of The Safety Zone and Impact Products operations.

Hospeco Brands Group is a United States-based, full-line manufacturer of wiping solutions, personal care, odor control, cleanroom, safety, and specialty products to serve building management, industrial and manufacturing, food service, education, healthcare and life sciences, hospitality, and wellness markets. SSE is a leader in the sourcing and supply of cleaning and safety products.

Tom Friedl, president of Hospeco Brands Group’s parent company, Tranzonic, said, “We are excited to bring SSE into the Hospeco Brands Group family. This will be a win for our customers as well as the customers, vendors, and employees of SSE. Hospeco Brands Group has a proven track record growing through acquisition in our core markets, including cleaning and safety, so we are well-positioned to complete this transition smoothly and efficiently for all parties involved.”

Under the terms of the APA, Hospeco Brands Group, through its parent company, Tranzonic, will serve as the “stalking horse bidder” in a court-supervised sale process. To facilitate the sale process, SSE has filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code. SSE intends to conduct the sale process pursuant to section 363 of the Bankruptcy Code. Accordingly, the APA is subject to higher or better offers and bankruptcy court approval, among other conditions. Hospeco Brands Group leadership expects that, if Hospeco Brands Group is deemed to be the highest or best bidder for the assets, the transaction will be completed mid-summer.