Jerry Turpanjian is a well known businessman. Up to January 2006 he was founder, president and CEO of Pacific Sales Kitchen and Bath Centers Inc.
Pacific Sales was founded in 1960, and in 2005 employed about 350 people, including a non-commissioned sales force. Torrance-based it operated 14 stores in southern California that using the successful showroom format, were selling high-end kitchen appliances, bathroom fixtures and home furnishings. As for 2005, half of the stores were in the Los Angeles area.
It was expected to generate revenue of approximately $320 million in 2006.
In December 2005 it was announced that Best Buy Co. Inc. agreed to acquire Pacific Sales for $410 million. The purchase price represented approximately 0.95 times Pacific Sales annual revenue. The deal was expected to be closed in the middle of January 2006.
Banc of America Securities LLC served as Pacific Sales' financial advisor on the transaction.
Minneapolis-based Best Buy said in a statement the acquisition would be accretive to the company in the second half of fiscal 2007 and it expected to expand the number of Pacific Sales stores, without mentioning whether the stores would be outside of southern California.
Following the close, Pacific Sales would be operated as a wholly owned, indirect subsidiary of Best Buy.
Turpanjian was planning to retire from all his positions at the close of the acquisition and to continue to serve as a consultant to the business. David Sheek, then general manager, and Glenn Merlian, then vice president and operations manager, were expected to remain with the company in their roles.
- Pacific Sales Acquired by Best Buy, Los Angeles Business Journal, December 12, 2005