American Vanguard Corporation Acquires Assets of American Bio-Systems

Rhea-AI Summary

AMGUARD Environmental Technologies, a division of American Vanguard Corporation (NYSE:AVD), has acquired the product and trademark assets of American Bio-Systems, known for its microbial cleaning products, BioMop-Plus® and DrainGel®. With over 20 years in the industry, these products address persistent drain issues in food-service and hospitality sectors. CEO Shayne M. Wetherall emphasizes that these solutions improve sanitation by digesting organic waste, differentiating them from conventional cleaning products. The acquisition aligns with AMGUARD's strategy to enhance its portfolio of biological solutions for commercial pest control.

Positive

• Acquisition of BioMop-Plus and DrainGel expands AMGUARD's product range and aligns with its focus on biological pest control solutions.
• The products are industry standards, suggesting a strong market position and potential for revenue growth.
• Integration of these products meets the food service industry's demand for effective sanitation solutions.

Negative

• None.

Leading Proprietary-Formula Microbial Cleaning Products Acquired by Specialty Markets Division AMGUARD Environmental Technologies

NEWPORT BEACH, Calif.--(BUSINESS WIRE)-- AMGUARD™ Environmental Technologies (“AMGUARD”), the specialty markets division of AMVAC Chemical Corporation, a wholly owned subsidiary of American Vanguard Corporation (NYSE:AVD), announced today the acquisition of the product and trademark assets of American Bio-Systems, founded in 1996 as a manufacturer of proprietary-formula microbial cleaning products BioMop-Plus^® and DrainGel^®.

For more than 20 years, BioMop-Plus and DrainGel have been the “industry standards” for restaurants, hotel kitchens, and institutions that have persistent drain and fruit fly infestation, with small flies breeding in the organic waste that accumulates in drains, on floors, and in crevices. Both products quickly and safely remove organic waste through use of a consortium of endospore-forming Bacilli bacteria strains – classified as non-pathogenic, naturally occurring environmental isolates – that are formulated to digest and eliminate organic material on floors and in drains. This provides professional pest control companies and end-users with a highly effective approach to managing pests in these environments.

Shayne M. Wetherall, CEO, AMGUARD, commented: “BioMop-Plus and DrainGel are a great fit with AMGUARD’s portfolio and our strategy to provide compelling biological solutions to the commercial pest control industry. These formulations directly address the foodservice industry’s desire for labor-saving solutions, including the improvement of sanitation practices that currently use standard soap-based and chemical cleaning products that can only ‘break up’ food waste and grease build-up, not remove it. Only microorganisms can degrade and ‘digest’ – that is, eliminate – this organic material.”

Morgan Timberlake, co-founder of American Bio-Systems, said: “I’m extremely gratified BioMop-Plus and DrainGel will now be included in AMGUARD’s biological products lineup going forward. AMGUARD’s dedication to providing quality products with excellent customer service to the pest management industry are the same guiding principles co-founder Joe Clark and I established when we founded American Bio-Systems in 1996.”

Wetherall provided concluding comments: “Because drain flies are prolific in food-service environments and are vectors of Listeriosis, a serious infection usually caused by eating food contaminated with the bacterium Listeria monocytogenes, the product profiles of BioMop-Plus and DrainGel are a direct fit with the broader pest control industry’s commitment to being protectors of public health. BioMop-Plus and DrainGel will be integrated immediately with AMGUARD’S growing portfolio of microbial products and will continue to be sold through the pest control industry’s national network of distributors to provide leading pest control companies and end-users with these proven solutions.”

About American Vanguard

American Vanguard Corporation is a diversified specialty and agricultural products company that develops, manufactures and markets solutions for crop protection and nutrition, turf and ornamentals management, commercial and consumer pest control. American Vanguard is included on the Russell 2000® and Russell 3000® Indexes and the Standard & Poor’s Small Cap 600 Index. To learn more about American Vanguard, please reference the Company’s web site at www.american-vanguard.com.

The Company, from time to time, may discuss forward-looking information. Except for the historical information contained in this release, all forward-looking statements are estimates by the Company’s management and are subject to various risks and uncertainties that may cause results to differ from management’s current expectations. Such factors include weather conditions, changes in regulatory policy and other risks as detailed from time-to-time in the Company’s SEC reports and filings. All forward-looking statements, if any, in this release represent the Company’s judgment as of the date of this release.

About AMGUARD Environmental Technologies

AMGUARD Environmental Technologies is an emerging provider of non-crop and specialty technology solutions for the U.S. Public Health, Pest Control, Ornamental & Greenhouse, Golf, Lawn & Landscape, and Consumer markets. We are the specialty markets division of AMVAC Chemical Corporation, a wholly owned subsidiary of American Vanguard Corporation.

From our RTP headquarters and labs, AMGUARD discovers, develops, and commercializes a diverse portfolio of proven chemistries, innovative technologies, and green solutions into diverse markets.

At our core, we are innovators. We are committed to protecting the population from disease vectors, mitigating structural pest damage, creating healthy outdoor living spaces, and maintaining outdoor sports and recreation venues. Our mission is to provide our customers with powerful technology solutions to keep their businesses strong and growing. www.AMGUARDTECH.com

View source version on businesswire.com: https://www.businesswire.com/news/home/20230117005193/en/

Company Contact:

American Vanguard Corporation

William A. Kuser, Director of Investor Relations

(949) 260-1200

williamk@amvac.com



Investor Representative

The Equity Group Inc.

www.theequitygroup.com

Lena Cati (212) 836-9611

Lcati@equityny.com

Source: American Vanguard Corporation

FAQ

What products were acquired by American Vanguard Corporation's AMGUARD division?

AMGUARD acquired the product and trademark assets of American Bio-Systems, specifically the BioMop-Plus® and DrainGel®.

How does the acquisition impact American Vanguard Corporation (NYSE:AVD)?

The acquisition enhances AMGUARD's product lineup, focusing on biological solutions that improve sanitation in the food service industry.

Why are BioMop-Plus and DrainGel important for the pest control industry?

These products effectively eliminate organic waste, addressing persistent pest issues such as drain flies, which can threaten public health.

When was the acquisition of American Bio-Systems announced?

The acquisition was announced on January 17, 2023.