ELKHART, Ind., June 16, 2014 /PRNewswire/ -- Drew
Industries Incorporated (NYSE: DW), a leading supplier of
components for recreational vehicles (RVs) and manufactured homes,
today announced that its wholly-owned subsidiary, Lippert
Components, Inc., has acquired the RV business of Actuant
Corporation (NYSE: ATU), which manufactures leveling systems,
slideout mechanisms and steps, primarily for motorhome RVs, under
the Power Gear® and Kwikee® brands. Sales of the acquired business
for the twelve months ended May 31,
2014 were approximately $28
million, consisting of sales to OEMs, as well as significant
aftermarket sales.
The purchase price was $35.5
million, which was paid at closing from available cash, as
well as from borrowings under the Company's $75 million line of credit with JPMorgan Chase
and Wells Fargo. After funding this acquisition, the Company
remains well-positioned to take advantage of other investment
opportunities.
"We are thrilled to have the Power Gear and Kwikee business and
its employees join the Lippert Components family," said Drew's
Chief Executive Officer Jason
Lippert. "The RV industry has been growing over the past few
years, which has increased the necessity for talented people in
engineering, sales, manufacturing and customer service. This
talented team will be a strong addition to our existing team, and
will help us continue to grow as we move forward."
"In addition, Power Gear and Kwikee have excellent products,
strong customer relationships, and a portfolio of over 80 patents
and patent applications. The addition of these patents to our
portfolio expands our product development potential, which we
believe will lead to better overall products for the RV industry,"
added Lippert. "We expect to leverage our extensive manufacturing,
purchasing, distribution and administrative capabilities to improve
the profitability of this business, and we expect this acquisition
to be immediately accretive to Drew's earnings."
About Drew Industries
From 34 factories located
throughout the United States, Drew
Industries, through its wholly-owned subsidiary, Lippert
Components®, supplies a broad array of components for the leading
manufacturers of recreational vehicles and manufactured homes. In
addition, Drew manufactures components for adjacent industries
including buses; trailers used to haul boats, livestock, equipment
and other cargo; truck campers; truck caps; modular housing; and
factory-built mobile office units. Drew's products include steel
chassis; vinyl and aluminum windows; slide-out mechanisms and
solutions; axles and suspension solutions; furniture and
mattresses; thermoformed bath, kitchen and other products; manual,
electric and hydraulic stabilizer and leveling systems; chassis
components; entry, luggage, patio and ramp doors; electric and
manual entry steps; awnings and slide toppers; electronic
components; and other accessories. Additional information about
Drew and its products can be found at www.drewindustries.com.
Forward-Looking Statements
This press release contains
certain "forward-looking statements" with respect to our financial
condition, results of operations, business strategies, operating
efficiencies or synergies, competitive position, growth
opportunities, acquisitions, plans and objectives of management,
markets for the Company's Common Stock and other matters.
Statements in this press release that are not historical facts are
"forward-looking statements" for the purpose of the safe harbor
provided by Section 21E of the Securities Exchange Act of 1934, as
amended, and Section 27A of the Securities Act of 1933, as amended,
and involve a number of risks and uncertainties.
Forward-looking statements, including, without limitation, those
relating to our future business prospects, net sales, expenses and
income (loss), cash flow, and financial condition, whenever they
occur in this press release are necessarily estimates reflecting
the best judgment of our senior management at the time such
statements were made. There are a number of factors, many of which
are beyond the Company's control, which could cause actual results
and events to differ materially from those described in the
forward-looking statements. These factors include, in addition to
other matters described in this press release, pricing pressures
due to domestic and foreign competition, costs and availability of
raw materials (particularly steel, steel based components and
aluminum) and other components, availability of credit for
financing the retail and wholesale purchase of products for which
we sell our components, availability and costs of labor, employee
retention, inventory levels of retail dealers and manufacturers,
levels of repossessed products for which we sell our components,
seasonality and cyclicality in the industries to which we sell our
products, the financial condition of our customers, the financial
condition of retail dealers of products for which we sell our
components, retention and concentration of significant customers,
the pace of and successful integration of acquisitions, realization
of efficiency improvements, the successful entry into new markets,
the costs of compliance with increased governmental regulation,
interest rates, oil and gasoline prices, the impact of
international, national and regional economic conditions and
consumer confidence on the retail sale of products for which we
sell our components, and other risks and uncertainties discussed
more fully under the caption "Risk Factors" in our Annual Report on
Form 10-K for the year ended December 31,
2013, and in our subsequent filings with the Securities and
Exchange Commission. We disclaim any obligation or
undertaking to update forward-looking statements to reflect
circumstances or events that occur after the date the
forward-looking statements are made, except as required by law.
SOURCE Drew Industries Incorporated