John Deere Landscapes Inc. stands as the preeminent distributor of landscaping supplies across North America. With annual revenues exceeding $1 billion, the company operates over 400 strategically located branches throughout the United States and Canada. This extensive network makes John Deere Landscapes Inc. the only nationwide distributor in a highly fragmented market, providing unparalleled reach and service to professional landscape contractors. The company’s comprehensive product portfolio encompasses wholesale irrigation products, landscape lighting solutions, nursery goods, and turf and maintenance supplies. Notably, John Deere Landscapes Inc. also markets select turf and maintenance products under its proprietary LESCO brand, further solidifying its presence in the landscaping industry.
“John Deere Landscapes is an exceptional market-leading distribution platform characterized by its extensive branch network and a highly capable management team, making them an ideal partner for CD&R,” stated David Wasserman, Partner at CD&R. “The business exhibits numerous compelling attributes, including its significant scale, a diverse and comprehensive product offering, and a steadfast commitment to service excellence. These strengths collectively provide substantial strategic and competitive advantages, enabling John Deere Landscapes Inc. to effectively meet the diverse and evolving needs of professional landscape contractors.”
David Werning, President of John Deere Landscapes, expressed enthusiasm for the partnership, stating, “CD&R’s demonstrated focus on fostering growth and their extensive experience partnering with distribution businesses like ours makes them the perfect partner for the future. Deere’s continued equity ownership underscores their confidence in and commitment to the ongoing success of the landscapes distribution business.”
CD&R Partner Ken Giuriceo further elaborated on the strategic rationale, “The newly independent John Deere Landscapes Inc. is poised to capitalize on the anticipated recovery in both residential and commercial construction sectors. Furthermore, we believe there are substantial opportunities to drive significant value creation and accelerate the company’s growth trajectory. We are eager to collaborate closely with the John Deere Landscapes management team and Deere to further strengthen its position as the leading value-added distributor in the landscaping market.”
Upon completion of the transaction, anticipated in December, CD&R Operating Partner Paul Pressler will assume the role of Chairman of the new company. CD&R has secured committed financing for the acquisition from a syndicate of leading financial institutions including UBS Loan Finance LLC, ING Capital LLC, HSBC Securities (USA) Inc., and Natixis. Debevoise & Plimpton LLP served as legal counsel to CD&R in connection with this transaction.
