AD & IMARK Electrical Merger Now Complete

A landmark combination between two major electrical supplies buying groups is now final, with AD and IMARK Electrical making things official on Sept. 24.

Originally announced June 4, the merger results in a combined entity that represents more than 700 independent electrical distributors in the U.S.

Terms were not disclosed for the transaction, which formally separates IMARK Electrical from IMARK Group.

“IMARK Electrical was instrumental in creating IMARK Group, and the best practice sharing that we experienced there was positive. However, the benefits, for us, from merging with AD are enormous,” IMARK Electrical Board Chairman John Thompson said in a news release. “With AD, we have best practice implementation plus increased purchasing volume in our core industry; additional growth opportunities for our members who operate in other industries; member ownership; effective governance; and the economies of scale that come from being a single group in multiple industries and countries to operate efficiently, develop and staff innovative programs, and make the investments needed to keep our members competitive long into the future.”

The finalization followed a July 8 announcement that IMARK Electrical shareholders overwhelmingly approved the merger.

Framed as a merger of equals, the combination is set to result in an entity within AD called The Independent Electrical Supply Division, U.S. (IESD), which will represent over 700 independently-owned electrical distributors with combined sales of over $43 billion. IESD will be led by Marisol Fernandez, who has served as AD’s President of its Electrical and Industrial Business Unit since mid-2022.

Overall, AD represents more than 900 independent distributors that span nine construction and industrial supply verticals and 14 divisions across North America.

Pre-merger, AD’s membership had annual sales exceeding $75 billion across electrical, industrial, safety, bearings and power transmission, plumbing, PVF, HVAC, decorative brands and building materials products.

“Today marks a historic moment in the Independent Electrical Channel in North America,” said Paul Kennedy, CEO of DSG (formerly Dakota Supply Group) and a member of the AD’s committee who worked to bring together both organizations. “The strategic importance of coming together as ONE combined entity will forever shape the future of the Independent Electrical channel. IESD is now one group, supported by one talented team of individuals committed to accelerating the growth of one independent electrical channel.”

Other mergers into AD in recent years include:

• The Edge Group — Electrical, 2024
• The Baron Group — 2023, PVF
• Torbsa — 2022, resulted in the formation of AD Canada – Building Supplies
• Delta Distributors — 2021, PVF
• Safety Network — 2021, Safety
• The Drake Group — 2019, Building Materials
• IDI — 2019, resulted in the formation of AD Canada – Industrial & Safety
• IDC-USA — 2019, Bearings & Power Transmission

IMARK Electrical marks the 16th merger into AD overall.

In the news release, AD Chairman and CEO Bill Weisberg gave special thanks to the AD LLC Board and the IMARK Electrical Board of Directors in leading the merger to its completion. 

“(They) invested countless hours and demonstrated unwavering commitment to this important and transformational work,” he said, noting the following executives:

• John Thompson, CEO of First Electric Supply; 
• Scott Teerlinck, President and CEO of Crescent Electric Supply; 
• Paul Kennedy, CEO of DSG; 
• Don Slominski, Executive Chairman of McNaughton-McKay Electric Company; 
• David White, Former Chairman and CEO of Border States

Wayne, PA-based AD was founded in 1981 by Weisberg’s father, David. The group completed its ownership transition from Weisberg to its distributor members in 2018. Today, AD member-owners span over 5,000 branches.

AD will welcome 16 associates of the IMARK Electrical team to the AD staff, led by Karen Baker, President of the Independent Electrical Supply Division. She is joined from IMARK Electrical by Jerry Knight as SVP of Supplier Relations and will work closely with Steven Guidry, AD’s SVP of Supplier Relations. Tim Babcock, VP of Member Engagement, will lead a team comprised of Shaker Brock – Director of Member Engagement, and Melissa Sealy, – a second Director of Member Engagement. Kelly Koch – Sr. Director of Marketing, will join the Division and focus on Electrical programs. Several other key former IMARK associates will also be added to Baker’s team in addition to others throughout finance and IT, according to AD.

Bob Smith, former President and CEO of IMARK Electrical, will also join AD as a Senior Advisor to AD’s executive team as they work through the integration process.

The newly reconstituted IESD Board of Directors comprised of 14 Industry leaders:

John Hanna and George Vorwick will serve as Co-Chairs for the newly-created Board and help guide staff on integration and governance matters at the divisional level.