Austin, TX-based Top 40 distributor Boundless (asi/143717) has acquired fellow Top 40 firm Touchstone (asi/345631) in Mason, OH. Financial details of the agreement weren’t immediately available.

Charley Dean, Boundless, and Derek Block, Touchstone

“The acquisition of Touchstone deepens Boundless’ competency and expertise in three core areas: creative services, warehousing and fulfillment, and enterprise technology systems,” says Charley Dean, chairman of Boundless. “Boundless’ clients and sales partners will benefit from Touchstone’s expertise in these areas as Boundless strives to be the industry’s leading distributor partner.”

Since 1996, Touchstone has offered boutique, agency-style creative services to its clients, and continues to operate a state-of-the-art warehouse, the cloud-based NetSuite ERP and its BrandEQ System, a proprietary platform that combines creative services, e-commerce stores and fulfillment.

“We’ve gotten to know Boundless over several years and are thrilled with this fit,” says Derek Block, founder of Touchstone and a member of Counselor’s Power 50 list of the industry’s most influential people. “Touchstone and Boundless are both team-oriented cultures where high-performing individuals with specialized skills can thrive. I’m excited about what this combined team will accomplish together.”

Mergers & acquisitions in the #promoproducts market can have ripple effects across the industry. While M&A decreased in the second half of 2023, indications are it stands to pick up again.

Is M&A in Promo Poised To Rebound in 2024? https://t.co/3QW8R6Z6Xk @asicentral

— Chris Ruvo (@ChrisR_ASI) February 7, 2024

As part of the agreement, Touchstone will retain its name, branding, location and facilities. President Andrew Backen will also remain in his role, while Block will become a special adviser.

The move is in line with Boundless’ long-term goals – CEO Dave Klotter told ASI Media last year that the company has been actively searching for M&A opportunities with the goal of reaching $200 million in revenue.

With 2022 North American promo product revenue of $160 million, Boundless ranked 18^th on Counselor’s most recent list of the largest distributors in the industry. Touchstone ranked 36^th, with $56.1 million in revenue.

Mergers and acquisitions decreased in the second half of 2023 in promo. Activity in January 2024 was more muted than in Januarys from recent years past. However, dealmaking has picked up considerably of late, and M&A experts in the industry believe the momentum will continue to build as the year progresses.