David M. Guernsey, steering committee spokesman, announced today that the boards of Independent Suppliers Group (ISG), Trimega Purchasing Association (TPA) and Pinnacle Affiliates LLC (PA) have approved a Memorandum of Agreement (MOA) outlining a merged organization comprised of the three dealer groups.
The document approved addresses the major elements, with accompanying specificity, to be incorporated in the Definitive Merger Agreement. Execution of the Definitive Merger Agreement, and subsequent launch of Newco (entity as yet unnamed), is currently targeted for 1 July, 2019.
Newco’s Board of Directors will be comprised of 12 individuals, four from each group. Those individuals have been named, and approved by each group’s board, and will begin their duties in mid-April.
The new organization will be structured as a cooperative, Trimega and Pinnacle will merge into Independent Suppliers Group, the surviving entity.
The new organization is committed to providing all of the existing programs and services currently offered by the three dealer groups. Substantial operational savings have been identified through the merging of three dealer groups serving approximately 1,000 dealers. However large or small the dealer, Newco is expected to provide immediate and significant benefit to all shareholders.
More detailed information will be forthcoming over the next several weeks. Today’s update comes from the Chairs of the three groups, Ms. Tonya Horn, Mr. Bruce Eaton and Mr. Ian Wist. The steering committee’s work is expected to be completed by early in Q2, 2019.
Note: the above is the only communication authorized by the steering committee which is operating under a Non-Disclosure Agreement…further communications will be announced as authorized by the Committee.