Plymouth, Minnesota-based distributor Carlson Marketing (UPIC: CARL0003) was acquired by Montreal, Canada-based Groupe Aeroplan Inc. in December for a net purchase price of $175.3 million, including transaction costs of $6.5 million.
Groupe Aeroplan’s businesses and Carlson Marketing will continue to operate separately and independently. Carlson Marketing’s management team, led by president and CEO Jeff Balagna, will continue to run the operations.
“This transaction is good news for the employees and customers of Carlson Marketing and a great opportunity for Groupe Aeroplan,” says Carlson President and CEO Hubert Joly. “It also frees up resources for Carlson that the company can deploy to accelerate the growth of its hotel, restaurant and travel businesses at a time when significant opportunities exist in these markets.”
“This acquisition is a logical extension for our company, as we diversify our business model to include a broader range of services within the loyalty management space in the U.S. and internationally,” says Rupert Duchesne, Groupe Aeroplan president and CEO.
Groupe Aeroplan expects to incur one-time costs of approximately $15 million primarily related to the migration of technology infrastructure in the U.S. out of Carlson’s systems.