3m owns Meguiar's?

[smooth72]

I was at Goodguys, talking to a 3M rep and he told me that 3m had bought Meguiar's. Said that Meguiar's still owned sales, I really don't totally understand. He said probably the only difference will be seen is a little 3M logo. He said that Meguiar's does really good on the consumer line. I hope they don't mess with pro stuff.

[hacker-pschorr]

Re: 3m owns Meguiar's?

http://www.startribune.com/business/28005554.html

[Michael Stoops]

Re: 3m owns Meguiar's?

Yes, it's true, but we continue to operate pretty much independently and Barry Meguiar is still doing what he's always done here. 3M has assisted us on the supply side of things, but our products are not becoming interchangeable and our chemists are still doing what they do best.

[smooth72]

Re: 3m owns Meguiar's?

Yes, it's true, but we continue to operate pretty much independently and Barry Meguiar is still doing what he's always done here. 3M has assisted us on the supply side of things, but our products are not becoming interchangeable and our chemists are still doing what they do best.

The 3m rep actually said that they hope to learn some from Meguiar's on the new high tech polishes. He still thought that their pro line was better. I am sure he is loyal to his parent company.

[HealthyCivic]

Re: 3m owns Meguiar's?

He still thought that their pro line was better.

Oh yeah, because every time I hear of a professional detailer, he just won't quit bragging about using 3M... Geeze, I don't even know why Mothers, Meguiar's, and Menzerna exist.

If I were him I'd be talking about Meguiar's but then again, he probably doesn't know about their products as much.

[Autobrite]

Re: 3m owns Meguiar's?

Just curious. Is anyone else nervous about 3M buying Meguiars? I hope they dont try to stick their hands in Megs business.

[seth1066]

Re: 3m owns Meguiar's?

Just curious. Is anyone else nervous about 3M buying Meguiars? I hope they dont try to stick their hands in Megs business.

This has been discussed at length in another thread some many months ago and apparently Megs hasn't been interfered with at all.

[seth1066]

Re: 3m owns Meguiar's?

Here's the thread from over a year ago, so there is nothing to worry about:

http://meguiarsonline.com/forums/showthread.php?t=27025&highlight=buying

[KC's]

Re: 3m owns Meguiar's?

i though that was the old news, some how a couple months earlier we in the east already knew that

i think it would be if you cant fight them buy them

[hacker-pschorr]

Re: 3m owns Meguiar's?

The 3m rep actually said that they hope to learn some from Meguiar's on the new high tech polishes. He still thought that their pro line was better. I am sure he is loyal to his parent company.

Just curious. Is anyone else nervous about 3M buying Meguiars? I hope they dont try to stick their hands in Megs business.

3M makes some good "pro" products of their own, I see this as a positive move.

If the 3M guru's test a meg's product and it proves to be superior, I highly doubt they would scrap it just to keep their old 3M formula. Worst case scenario they might relabel a few things...

[the_invisible]

Re: 3m owns Meguiar's?

I hold some number of 3M common shares, so in a way I am indirectly a shareholder of Meguiar's. heh heh...

3M in any given year has been making an average of twenty purchases each year, and they have been consistently doing so for quite many years. Some are hostile takeovers, some are for goodwill generation, and while most of them are for patents.

I have a copy of the 3M's 2008 Annual Report in front of me, and under the appendix of Acquisition, here is something interesting:

(12) In October 2008, 3M (Industrial and Transportation Business) purchased 100 percent of the outstanding shares of Meguiar’s Inc., a 100-year-old business that manufactures the leading Meguiar’s brand of car care products for cleaning and protecting automotive surfaces, which is headquartered in Irvine, California.

Notice that 3M has purchased 100 percent of Meguiar's. That, in business terms, means something. Although I will not speculate, those working in the finance industry could draw some implications on that.

[seth1066]

Re: 3m owns Meguiar's?

I hold some number of 3M common shares, so in a way I am indirectly a shareholder of Meguiar's. heh heh...

3M in any given year has been making an average of twenty purchases each year, and they have been consistently doing so for quite many years. Some are hostile takeovers, some are for goodwill generation, and while most of them are for patents.

I have a copy of the 3M's 2008 Annual Report in front of me, and under the appendix of Acquisition, here is something interesting:

Notice that 3M has purchased 100 percent of Meguiar's. That, in business terms, means something. Although I will not speculate, those working in the finance industry could draw some implications on that.

3M have owned Megs for over a year. In this full year of 3M ownership, I have only noticed from Meguiar's the continuation of the same great products, introduction of great new products, the same great customer service, etc., etc.

[imacarnut]

Re: 3m owns Meguiar's?

I hold some number of 3M common shares, so in a way I am indirectly a shareholder of Meguiar's. heh heh...

3M in any given year has been making an average of twenty purchases each year, and they have been consistently doing so for quite many years. Some are hostile takeovers, some are for goodwill generation, and while most of them are for patents.

I have a copy of the 3M's 2008 Annual Report in front of me, and under the appendix of Acquisition, here is something interesting:

Notice that 3M has purchased 100 percent of Meguiar's. That, in business terms, means something. Although I will not speculate, those working in the finance industry could draw some implications on that.

I'm sure when the contract was written up, Barry was smart to sell it under his terms in which he still has some control. The sad thing thing is since he sold it, he (probably) will not receive anymore money (obviously). It's a bummer seeing a family owned company for so many years get bought out by the big guys, if you know what I mean. As long as Barry is happy (and the employees), then that's all that matters.

[seth1066]

Re: 3m owns Meguiar's?

As long as Barry is happy (and the employees), then that's all that matters.

And most importantly, the customers!

[the_invisible]

Re: 3m owns Meguiar's?

I'm sure when the contract was written up, Barry was smart to sell it under his terms in which he still has some control. The sad thing thing is since he sold it, he (probably) will not receive anymore money (obviously). It's a bummer seeing a family owned company for so many years get bought out by the big guys, if you know what I mean. As long as Barry is happy (and the employees), then that's all that matters.

Since Meguiar's was a private company, information pertaining to the acquisition contract is not publicly available. 3M hasn't mentioned much about the acquisition either in their annual report. In the 110 page report, only seven sentences was written about Meguiar's. But then, the purchase was extremely immaterial relative to the colossal size of the parent company.

What's interesting is that Meguiar's was purchased as a non-depreciable asset for $58 million. Note that just because the acquisition is strategic, does not mean that the services and products of the target company would be comprimised. In most cases, if the asset is purchased for financial reasons, products and services would usually improve.