D-A Lubricant Co. will purchase the Brad Penn Lubricants brand from American Refining Group (ARG).
If finalized, the sale includes an agreement by which ARG will continue to blend and package most of the Brad Penn Lubricants at its Bradford, Pa. D-A will continue to serve the Brad Penn distributor network with its lubricant products.
“This agreement enables ARG to focus on what it does best, refining quality base oils and the blending and packaging of lubricants,” said Jeannine Schoenecker, president/CEO. “The blending and packaging agreement also contributes to our long-term strategic plan to internally blend a large majority of the base oils we produce in our refining process.”
“Combining D-A’s nationwide salesforce with a respected and well-known brand such as Brad Penn Lubricants is a natural fit,” said Michael Protogere, D-A’s CEO. “We gain access to ARG’s refining capabilities and Brad Penn has the benefit of our distribution network and 35-person sales force.”
“It is D-A’s intention to further the market share of the Brad Penn Lubricants product line including its Penn Grade 1 High Performance Oils,” said Gisela Miller, D-A’s p/CFO. “The synergy between D-A and Brad Penn advances both brands for much anticipated market penetration throughout North America and beyond.”
The transition is expected to be complete by Dec. 31, 2014.