It’s another blockbuster acquisition involving industry heavyweights.

HPG (asi/61966), the eighth-largest supplier in the North American promotional products industry, has acquired Evans Manufacturing (asi/52840), the market’s 29th-biggest supplier firm. Financial terms of the deal between the privately held companies were not released.

Braintree, MA-based HPG said that adding Garden Grove, CA-headquartered Evans brings new North American manufacturing capabilities to the firm – one of many reasons HPG was eager to make the acquisition.

HPG CEO Chris Anderson and Evans President Alan Vaught are both on Counselor’s Power 50 list of promo’s most influential people.

“Evans has rightfully earned a stellar reputation for promotional hard goods and customer service excellence, which makes it a perfect fit for the HPG family,” said company CEO Chris Anderson, who ranks ninth on Counselor’s Power 50 list of promo’s most influential people.

Anderson continued: “I am delighted to welcome the abundance of talent and expanded capabilities Evans has to offer and can reassure customers HPG’s philosophy is to do no harm – we will not disrupt what clearly has been working so well. We look forward to knowledge-sharing with our new team members and working together to make HPG the preeminent promotional hard goods supplier.”

Evans’ top executive Alan Vaught, also a Power 50 member, is joining HPG and will continue to lead Evans as division president. He’s what executives described as a “significant HPG shareholder.”

“The partnership with HPG represents the culmination of many years of hard work and dedicated service by the entire Evans team,” Vaught said. “I have been blessed by the talents of so many key contributors throughout the journey, and it is humbling to see this business that started as a two-person operation evolve into the respected market leader that it has become. I am thrilled to embark on this next chapter, in partnership with the proven team at HPG.”

Top 40s Buying Top 40s

HPG’s acquisition of Evans marks another instance in which one Top 40 firm buys another. In 2021, the industry’s third largest supplier, S&S Activewear (asi/84358), acquired TSC Apparel, a company that at the time was promo’s 14th-biggest supplier. At the start of 2022, Top 40 firm SnugZ USA (asi/88060) acquired Sweda, which was then a Top 40, too.

On the distributor side, HALO Branded Solutions (asi/356000), promo’s largest distributorship, has made a habit of acquiring other Top 40 distributors. In May last year, for instance, HALO bought BrandVia Alliance, which ranked 34th on the Top 40 when the deal occurred. In preceding years, HALO purchased other Top 40 distributors – Caliendo Savio Enterprises, Sunrise Identity and Axis Promotions.

Two Formidable Suppliers Coming Together

Established in 1983 as an injection molding company primarily focused on retail end markets, Evans entered the promo products industry in 1992. Currently, the company specializes in plastic and fabric products in categories that include healthcare, household, office, drinkware, pet, writing instruments, travel, auto, golf, outdoor, tech, spirit and education.

Evans designs and manufactures the majority of its line in-house. The firm produces and decorates more than 200 products in its U.S. manufacturing facility. In 2008, Evans expanded its operations to what executives said is a state-of-the-art manufacturing facility in Nogales, Mexico. There, Evans performs in-house production of tote bags and other cut-and-sew items.

“I am delighted to welcome the abundance of talent and expanded capabilities Evans has to offer and can reassure customers HPG’s philosophy is to do no harm – we will not disrupt what clearly has been working so well.” Chris Anderson, HPG

Evans has taken home a number of industry accolades over the years, including the distinction of being the highest ranked large industry company on Counselor’s 2022 Best Places to Work in promo list.

Even before the Evans acquisition, HPG already had a big footprint in promo. It produces and ships products from nine facilities that span North America, offering more than 10,000 SKUs from 10 brands. In recent years, the firm has been aggressive on acquisitions, purchasing suppliers that include Origaudio, HandStands and Webb Company, which was rebranded as Mixie.

Based on reported North American promotional products revenue of $172.7 million, HPG ranked eighth on Counselor’s most recent list of the largest suppliers in the industry.