Glas-Aire Industries Group Ltd. has acquired Wonder Tool Inc. and plans to move its operations to Canada.
Wonder Tool, a wholly owned subsidiary of Cyclo Manufacturing Company (“Cyclo”), manufactures and distributes a twin head orbital polisher known as the “Wonder Tool” for the automotive and aircraft industry and other associated products.
Glas-Aire designs and makes sunroof wind deflectors, hood deflectors, rear-air deflectors and door visors for cars, light trucks and vans. Glas-Aire sells its products in the United States, Canada, Japan and the United Kingdom. The Company is based in Vancouver, British Columbia and also has a distribution center in Bellingham, Washington.
William Ponsoldt, chairman of the board of Glas-Aire, said: “We are very pleased to have completed this acquisition after more than a year of discussions and negotiations. Wonder Tool operates in a niche market that we believe fits very well with our existing distribution system and which expands our existing product line. We believe that Wonder Tool’s products will contribute significantly to both our top and bottom lines.” Ponsoldt also said, “We plan to move the Wonder Tool operations to our facility in Canada, which should increase Wonder Tool’s margins.”
Glas Aire issued 1,250,000 shares of its common stock to acquire Wonder Tool. The shares are restricted securities and as such are subject to trading restrictions under U.S. securities laws.
Robert C. Johnson, president of Cyclo, said: “I am very optimistic about the future of the orbital polisher with Glas-Aire. Putting the orbital polisher into Glas-Aire’s distribution system and moving the Wonder Tool operations to Canada should lead to increased sales and better operating results as volumes increase.”
Robert C. Johnson and Raymond Gherardini, also an officer of Cyclo, have joined the Glas-Aire Board of Directors following the acquisition of Wonder Tool.
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