Drew Industries Incorporated (NYSE:DW), a supplier of components for the leading OEMs of recreational vehicles (RVs) and adjacent industries, and the aftermarkets of these industries, today announced that its wholly-owned subsidiary, Lippert Components, Inc. (LCI®), has agreed to acquire the business, manufacturing facility and certain assets of the seating and chassis component division of Atwood Mobile Products, a subsidiary of Dometic Group. Based in Elkhart, Indiana, sales of the acquired business for the twelve months ended December 31, 2015 were approximately $30 million, consisting of sales to OEMs, as well as significant aftermarket sales.
“Atwood has been a household name in the RV and trailer markets for over 30 years,” said Scott Mereness, President of LCI. Products acquired in the acquisition include seating frames and related components, as well as Atwood’s manual, power and scissor jacks, leveling systems and controls, couplers and hitch balls, fifth wheel landing gear and braking components. “Atwood’s chassis hardware products are a natural fit for LCI,” continued Mereness. “Additionally, we expect the seating frame business will create new synergies in our RV and Marine furniture businesses. This acquisition spans many of our existing core markets and adds significant aftermarket revenue, and opens up new adjacent industry opportunities for LCI.”
The purchase price is $12.5 million, which will be paid at closing from available cash. After funding this acquisition, Drew remains well-positioned to take advantage of other investment opportunities. The transaction is expected to be completed in November 2016.
About Drew Industries
From 45 manufacturing and distribution facilities located throughout the United States and in Canada and Italy, Drew Industries, through its wholly-owned subsidiary, Lippert Components®, supplies a broad array of components for the leading original equipment manufacturers of recreational vehicles and adjacent industries including buses; trailers used to haul boats, livestock, equipment and other cargo; pontoon boats; manufactured homes; modular housing; and factory-built mobile office units. The Company also supplies components to the related aftermarkets of these industries, primarily by selling to retail dealers, wholesale distributors and service centers. Drew’s products include steel chassis and related components; axles and suspension solutions; slide-out mechanisms and solutions; thermoformed bath, kitchen and other products; vinyl, aluminum and frameless windows; manual, electric and hydraulic stabilizer and leveling systems; furniture and mattresses; entry, luggage, patio and ramp doors; electric and manual entry steps; awnings and awning accessories; electronic components; appliances; LED televisions and sound systems; navigation systems; wireless backup cameras; and other accessories. Additional information about Drew and its products can be found at www.drewindustries.com.
