Patrick Industries Inc. has acquired Taco Metals, a well-known manufacturer of components including outrigger and rub rail systems, canvas and tower components, helm chairs, pedestals, and specialty hardware for major boatbuilders and OEMs in the recreational boating industry.
Taco was purchased by Dave Kushner 60 years ago and expanded out of its Miami headquarters, and has continued to grow under the leadership of his sons Bill, Jon and Mike.
By the mid-1980s, Taco had become a primary rub rail supplier to boatbuilders including Chris-Craft, Wellcraft, Sea Ray, Regal and Correct Craft, wrote Soundings Trade Only last year in a Q&A of the three brothers.
The company now has manufacturing facilities in Tennessee and Florida, as well as distribution centers in Tennessee, Florida, South Carolina and Massachusetts.
Patrick will continue to operate Taco on a standalone basis under its brand name in its existing facilities.
"After more than 60 years as a family-owned business, my brothers and I are pleased to join the Patrick family to continue the legacy of the Taco brand and broaden our reach and product offerings in the markets we serve,” said Taco president Jon Kushner in a statement.
Taco's full-year 2020 revenues are projected to be approximately $40 million, and Patrick expects the acquisition to be immediately accretive to net income per share.
"Taco is an innovative, single-source solutions provider offering a comprehensive suite of products and accessories with tremendous brand value, a customer first approach, and compelling aftermarket product lines," said Patrick president and CEO Andy Nemeth.
“We are excited to partner with Jon, Bill, and Mike Kushner and the entire Taco team in expanding our marine brand and aftermarket platform,” added Nemeth. “Consistent with previous acquisitions, we will support Taco with a financial and operational foundation that will allow it to continue to capitalize on its core competencies while preserving the entrepreneurial spirit and brand that have been so important to its success."
Patrick’s strategic resources and marine industry presence will be “an added value toward Taco’s commitment to “deliver innovative, engineered products that reflect evolving customer preferences for integration, safety, comfort, convenience and technology,” said Kushner.
The acquisition of Taco includes the acquisition of working capital and other assets and was funded under the company's credit facility.
Patrick has been acquiring companies at a rapid pace; in 2020 alone the firm has purchased Maple City Woodworking Corp, SEI Manufacturing, Inc., Inland Plywood Company, Synergy RV Transport, Front Range Stone, and Geremarie Corp.