RJD Green Inc. (OTCPK: RJDG) has taken a significant step forward in expanding its Silex Holdings division by acquiring key assets from JSI Interiors. This strategic move includes a state-of-the-art fabrication system, contracts, purchase orders, and a book of business, all of which are expected to significantly enhance Silex Holdings' capabilities in the specialty construction products market. The acquisition, which combines the revenues of Silex Holdings and JSI Interiors totaling $7,813,426 for the 2023 calendar year, marks a pivotal moment for the company.
To ensure a smooth integration of these assets, Silex Holdings has established JSI Products Corporation as a new division. Ron Brewer, CEO of RJD Green, shared his enthusiasm for the acquisition's potential, highlighting the company's plans to leverage proven business operation processes to drive growth. Brewer pointed to Silex Interiors' revenue growth from $1.4 million at acquisition to $5.8 million annually as a benchmark for success.
The acquisition is set to revolutionize Silex Holdings' production capabilities, with the new fabrication system enabling high-quality product output at an exceptional rate. The Tulsa Division, including Silex of Tulsa, is projected to generate between $3 million to $4 million in revenue in its first year. Furthermore, Silex Holdings aims to expand its business outreach across northeast Oklahoma, targeting a 200-mile radius for commercial projects with the ambitious goal of achieving $10 million in profitable revenue.
This expansion is a testament to Silex Holdings' business model, which focuses on serving a niche market between box stores and local contractors. Specializing in installed stone and engineered stone countertops, cabinets, and related products, the company caters to a wide range of clients, including residential builders, commercial projects, remodel contractors, and retail customers on a regional basis.
The acquisition underscores RJD Green's strategic focus on growth within the specialty construction and industrial services sectors. As a holding company with divisions in healthcare services, environmental services, and now an expanded Silex Holdings division, RJD Green is positioning itself as a leader in these industries. For investors and industry watchers, this move signals RJD Green's commitment to expanding its market share and enhancing its competitive edge in the specialty construction sector.
As the industry continues to evolve, strategic acquisitions like this one may become increasingly vital for companies aiming to consolidate their market position and broaden their service offerings. While the company remains optimistic about the acquisition's potential, it acknowledges that forward-looking statements are subject to risks and uncertainties. Investors are encouraged to consult the company's SEC filings for a detailed understanding of these potential risks.
