Friday, April 04, 2008
DREW INDUSTRIES ACQUIRES ANOTHER RV FURNITURE COMPANY
RV Business
Friday, April 4, 2008
Drew Industries Inc. reported Thursday (April 3) that its Goshen, Ind.-based subsidiary Lippert Components Inc. (LCI) has “agreed in principle” to acquire RV furniture supplier Seating Technology Inc. and its affiliated Seattech companies.
Seattech, also based in Goshen, manufactures a wide variety of products primarily for towable RVs, including folding sofas for toy haulers, a full line of upholstered furniture, mattresses, decorative pillows, wood-backed valences and quilted soft good products.
Drew said that the acquisition adds an entirely new product line for LCI, a chassis and component supplier to the RV and manufactured housing industries.
According to Drew, Seattech’s sales for 2007 were approximately $40 million, which represents significant growth from its $11 million in sales in 2003.
“We look to continue this pace of growth in 2008 as Seattech builds market share, despite the anticipated RV industrywide sales decline in 2008 due to current poor economic conditions,” said Leigh J. Abrams, president and CEO of White Plains, N.Y.-based Drew.
Drew said it is expected that the acquisition will be funded from available cash.
Rick Finnigan, majority owner of the Seattech companies, has agreed to enter into a three-year consulting contract, while Joel DeVries, vice president, will enter into a three-year employment contract and will be responsible for Seattech’s day-to-day operations. He will report to Jason Lippert, LCI’s president and CEO.
“Seattech’s exceptional growth and operating success is the result of our unique approach to meeting customer needs,” said Rick Finnigan. “Through our personalized partnerships with our customers, we are able to produce customized, innovative seating products. Our cutting-edge designs and patterns break the cookie-cutter concepts of off-the-shelf designs and provide niche solutions for customers.”
Seattech currently operates from five factories, which LCI will lease, and is solely a Midwest supplier to the towable RV industry.
“LCI will determine the viability of using its nationwide factory network to expand the territorial reach of Seattech’s manufacturing and marketing capabilities,” said Lippert. “In addition, we also plan to explore other markets, such as RV motorhomes and the manufactured housing and marine industries, in which Seattech’s products may have a potential market.”
Friday, April 4, 2008
Drew Industries Inc. reported Thursday (April 3) that its Goshen, Ind.-based subsidiary Lippert Components Inc. (LCI) has “agreed in principle” to acquire RV furniture supplier Seating Technology Inc. and its affiliated Seattech companies.
Seattech, also based in Goshen, manufactures a wide variety of products primarily for towable RVs, including folding sofas for toy haulers, a full line of upholstered furniture, mattresses, decorative pillows, wood-backed valences and quilted soft good products.
Drew said that the acquisition adds an entirely new product line for LCI, a chassis and component supplier to the RV and manufactured housing industries.
According to Drew, Seattech’s sales for 2007 were approximately $40 million, which represents significant growth from its $11 million in sales in 2003.
“We look to continue this pace of growth in 2008 as Seattech builds market share, despite the anticipated RV industrywide sales decline in 2008 due to current poor economic conditions,” said Leigh J. Abrams, president and CEO of White Plains, N.Y.-based Drew.
Drew said it is expected that the acquisition will be funded from available cash.
Rick Finnigan, majority owner of the Seattech companies, has agreed to enter into a three-year consulting contract, while Joel DeVries, vice president, will enter into a three-year employment contract and will be responsible for Seattech’s day-to-day operations. He will report to Jason Lippert, LCI’s president and CEO.
“Seattech’s exceptional growth and operating success is the result of our unique approach to meeting customer needs,” said Rick Finnigan. “Through our personalized partnerships with our customers, we are able to produce customized, innovative seating products. Our cutting-edge designs and patterns break the cookie-cutter concepts of off-the-shelf designs and provide niche solutions for customers.”
Seattech currently operates from five factories, which LCI will lease, and is solely a Midwest supplier to the towable RV industry.
“LCI will determine the viability of using its nationwide factory network to expand the territorial reach of Seattech’s manufacturing and marketing capabilities,” said Lippert. “In addition, we also plan to explore other markets, such as RV motorhomes and the manufactured housing and marine industries, in which Seattech’s products may have a potential market.”
