New York City-based unmanned vehicle maker Drone USA has concluded its purchase of wholesale distribution company Howco Distributing Corp. for $3.5 million in cash, promissory notes and warrants.
Drone USA said Tuesday it will have access to Howco™s facility leases and related intellectual property and establish connections with the latter company’s suppliers and vendors.
Howco reported sales of $23.4 million in 2015 and earnings before interest, taxes, depreciation and amortization at close to $1.78 million.
Howco’s former owners Paul and Kathy Joy will join Drone USA as part of the acquisition and help oversee day-to-day operations.
Drone USA entered into a stock purchase agreement in August to buy Howco, a Vancouver, Washington-based company that provides spare and replacement parts to federal government agencies, U.S. military contractors and commercial customers worldwide.
