Kenney Machinery recently entered into an agreement to sell Kenney Outdoor Solutions, the residential landscape and irrigation supply part of our business. The following is a letter from Kenney Machinery President Mike Kenney about the decision and what it means for our customers.
To Our Valued Customers,
I am writing to inform you of some changes that are on the horizon for our company. Earlier this month we entered into an agreement to sell our residential landscape and irrigation supply business (Kenney Outdoor Solutions) “KOS” to Ewing Irrigation and Landscape Supply. This sale is targeted to close at the end of February. The sale does NOT include Toro Golf Irrigation.
While this was a difficult decision it ultimately is the best thing for both the KOS employees and customers. Ewing is a quality company that is family owned and shares the values we have as it relates to taking care of people.
This sale of KOS does not have any impact whatsoever on the continuing operations of Kenney Machinery Corp (The Toro Distribution Business). Kenney Machinery will continue to serve Indiana and Kentucky with the same Toro product lines that our customers know and love including:
- Toro Residential and Landscape Contractor Equipment
- Toro Commercial Maintenance Equipment
- Toro Golf Irrigation
- Toro Siteworks Systems
- Equipment and Irrigation parts and service
This sale also does not impact Landtech Design (Our Irrigation design and consulting business).
As you may recall, last year at this time we announced a strategic partnership with RPM Machinery, The Case Construction Equipment Dealership for Indiana. Simultaneous with the sale of KOS we are announcing an expansion of that partnership to include combined administration and management of both companies.
RPM Machinery and Kenney Machinery will continue to operate as separate businesses but will be able to further leverage service capabilities and Management to improve the customer experience for both brands. I will be the CEO of both organizations and the Kenney team will remain intact. This is NOT a sale of Kenney Machinery, rather it is a joint venture that will make both companies stronger in their respective markets. Kenney Machinery is a fourth generation 113 year old family business and will continue to be owned by the Kenney family. RPM Machinery is a 50 year old company and will continue to be owned by the same people as well.
Change like this always causes anxiety in the marketplace and I want to assure you that this change has not been taken lightly. Ultimately we are doing this to better serve our customers and assure our employees have the best possible opportunities for growth. From the beginning we approached this with our employees interests always in the forefront.
With this in mind Ewing was the only logical buyer I could see who would ultimately be a culture match for our people and our loyal customers. They are the only company we talked to. As times change and industries evolve it is incumbent on leadership to keep the business positioned for financial health and growth. The KOS team has a bright future with a company well positioned in the Landscape Irrigation Industry and the Kenney Machinery team has a bright future with a company well positioned in the maintenance and construction industries.
We sincerely appreciate the trust you continue to put in us as your Toro Distributor and we promise to continue “raising the bar” when it comes to providing you with excellent service.
Feel free to contact myself and/or anyone on the Kenney Leadership team with questions.