Sale of Genmar assets is finalizedPosted on
Genmar Holdings closed on the sale of its remaining boating-related assets and certain other non-core assets.
Platinum Equity of Beverly Hills, Calif., now owns the Ranger, Stratos, Champion, Wellcraft, Four Winns and Glastron boat brands; manufacturing facilities and related operations in Flippin, Ark.; Cadillac, Mich.; and Murfreesboro, Tenn.; and certain transportation equipment and other real estate assets.
Genmar previously completed the sales of Genmar Yacht Group, which includes Marquis and Carver, to J&D Acquisitions and its Hydra-Sports brand to MCBC Hydra Boats.
“Each of the brands we acquired has a rich heritage, a strong and loyal customer base and significant opportunities to grow following very challenging times throughout the boating industry,” said Louis Samson, the principal at Platinum. “Platinum has a strong track record of supporting companies through difficult transitions and we look forward to putting each of these brands on a path toward long-term growth and profitability.”
A transition is now under way that will establish Platinum’s new portfolio of former Genmar brands as a stand-alone business under a new corporate name. Details about the new corporate identity will be announced as the process unfolds.
“The marine industry has a lot of potential, and we’re very excited to be part of it. Right from the start, we intend to protect the core elements – customers, employees, suppliers, and dealers – while we devise new strategies for the future,” added Samson.
Platinum appointed David Huls president and CFO of the new consolidated corporate holding company. Huls was previously senior vice president and CFO of Genmar Holdings.
“The last eight months have been extremely difficult for our employees, dealers and suppliers,” said Huls. “I’m grateful for everyone’s support and cooperation as we worked through so many challenges. It hasn’t been easy and we have a lot of hard work ahead, but through a renewed spirit of collaboration we will all prosper together.”
Platinum also announced the executives who will lead the various brand operations.
Randy Hopper will continue to serve as president of Wood Manufacturing, a position he has held for more than 20 years, and will oversee Ranger Boats, Stratos Boats and Champion. Wood Manufacturing will be managed independently from the other brands.
“We couldn’t be more pleased,” said Hopper, in a statement. “Our capital structure going forward will allow us to keep our focus where it should be – building the most sought after fishing boats in the world.”
Jeff Olson will continue to serve as president of Four Winns and Wellcraft, and Mike O’Connell has been appointed to the newly created position of president of Glastron Boats.
“Partnering with Platinum Equity presents exciting new opportunities for our employees, dealers, suppliers and other business partners,” said Olson. “Platinum is an experienced investor with a strong track record of helping businesses reach their full potential and we are excited to have them as partners.”
Platinum also confirmed it completed the acquisition of certain other assets from Genmar Holdings and in turn sold those assets to J&D Acquisitions, which is controlled by Genmar founder Irwin Jacobs and Jean-Paul Dejoria.
The assets acquired and then sold to J&D include the Larson, Seaswirl and FinCraft boat brands, as well as the Little Falls, Minn., manufacturing facility that builds those brands; the Seaswirl manufacturing facility in Culver, Ore., and all of its related assets; VEC Technology LLC, located in Greenville, Pa.; the Triumph boat brand and related assets; and the Windsor Craft boat brand and related assets.
“We are very pleased that our negotiations with Irwin and his team culminated in this transaction. It was a quick and efficient process between parties who share a mutual respect,” Samson said. “We strongly believe J&D is the most logical owner for these assets.