On Monday, professional hand and power tool maker Snap-on (NYSE:SNA) announced that it has bought for $38 million auto repair vehicle lift maker Challenger Lifts, which had approximately $45 million in sales in 2012.
Noting that the acquisition complements its existing product lineup while broadening its ability to service the vehicle repair market, Snap-on Chairman and CEO Nick Pinchuk said: "We believe this acquisition will further Snap-on's progress along its strategic and coherent growth runway of expanding with repair shop owners and managers."
Challenger makes and sells a comprehensive line of vehicle lifts and accessories, which seems to integrate well with Snap-on's tool storage, diagnostics software, shop equipment, and information systems for vehicle dealerships and repair centers.
Headquartered in Kenosha, Wis., Snap-on was founded in 1920 and has a long history of serving the automotive repair market. Although revenues fell 18% in 2010 because of the recession, customers have snapped back to buying its products, with revenues rising more than 4% in 2012 to $3.1 billion.