A subsidiary of Elkhart-based Drew Industries Inc. (NYSE: DW) has announced the acquisition of the seating and chassis component business of Michigan-based Atwood Mobile Products Inc. The $12.5 million cash transaction by Lippert Components Inc. is expected to close in November.
In March, LCI announced plans to acquire the remaining inventory and replacement glass assets of Atwood. LCI, which supplies components for the recreational vehicle and manufactured housing industries, says Atwood’s chassis products are a natural fit for the company.
"Atwood has been a household name in the RV and trailer markets for over 30 years," said Scott Mereness, president of LCI. "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."
LCI says sales from the acquired business totaled around $30 million in 2015. Drew Industries says after funding the acquisition, the company "remains well-positioned to take advantage of other investment opportunities."