Skip to main content

Brunswick to buy Power Products’ Global Marine & Mobile brands

Power Products’ Global Marine & Mobile businesses provide electrical products to marine and other recreational and specialty-vehicle markets.

Power Products’ Global Marine & Mobile businesses provide electrical products to marine and other recreational and specialty-vehicle markets.

Brunswick Corp. today announced a deal to buy Power Products’ Global Marine & Mobile businesses for $910 million in cash.

With the agreement, Brunswick will add 11 brands: Ancor, BEP, Blue Sea Systems, Czone, Del City, Lenco Marine, Marinco, Mastervolt, Park Power, Progressive Industries and ProMariner.

Revenues for the businesses were approximately $233 million for the trailing 12-month period that ended March 31, with “attractive revenue growth, along with strong margin and earnings levels,” according to Brunswick.

Power Products is a privately held company based in Menomonee Falls, Wis., and owned by San Francisco-based private equity firm Genstar Capital. The acquisition will not include Power Products' Electrical Construction & Maintenance business.

Power Products’ global and marine divisions provide branded electrical products, such as battery and power management and digital switching, to marine and other recreational and specialty-vehicle markets.

The group also manufactures and distributes a broad portfolio of marine and transportation parts and accessories.

Global Marine & Mobile will join Mercury Marine's global parts and accessories organization. Mercury is Brunswick's largest division.

"This transaction advances Brunswick's leadership by adding integrated electrical systems solutions to the marine market and an array of other mobile, specialty vehicle and industrial applications,” said Brunswick chairman and CEO Mark Schwabero in a statement. “Power Products has an extensive aftermarket presence, which provides a more consistent revenue stream, with attractive margins, that helps to strengthen Brunswick's overall business profile. We are also adding a talented, experienced and customer-focused management team, which is expected to remain in place and play a major role in the execution of our strategy.”

Mercury Marine's parts and accessories business accounted for about $1.3 billion, or approximately 28 percent, of Brunswick's 2017 annual revenues.

With the acquisition, Brunswick expects Mercury's part and accessories business to have revenues on a run-rate basis that will exceed its 2018 target of $1.5 billion.

"Many of [these] products are highly complementary to Mercury Marine's current P&A portfolio, with no overlap," Mercury Marine president John Pfeifer said. "The addition of these sophisticated electronics solutions to Mercury Marine's P&A portfolio will enable the combined operation to provide our customers with a wider array of unique, enhanced solutions, which will enhance our P&A business."

Brunswick will be using a combination of debt and cash on its balance sheet to fund the acquisition.

Related

Dockmate Launches New Technology

The SoftDocking wireless remote control system eliminates the delay between engaging the throttle and the boat beginning to move.

Minneapolis Innovation Award Winners Announced

NMMA and Boating Writers International handed out the awards in four categories during the Minneapolis Boat Show preview yesterday.

MRAA kicks off Dealer Certification

Becoming a Certified Dealer opens the door to valuable education that will strengthen your dealership operations.

ReconCraft Names Executive Vice President

Josh Pruzek brings two decades of operational leadership in specialized marine manufacturing to the tactical-vessel builder.

Minneapolis Boat Show Opens Tomorrow

Canceled last year, the show runs through Sunday at the Minneapolis Convention Center.

ASA Appoints Public Affairs Manager

John Chambers will help strengthen communications efforts and increase engagement in the newly created position with the American Sportfishing Association.

Soundings Trade Only Names Editor-in-Chief

Gary Reich takes the helm from Jeff Moser, who becomes editor-in-chief of sister magazine PassageMaker.

St. Petersburg Show Opens Thursday

The 44th edition combines with the Tampa Boat Show to create what organizers say is the largest show on the Florida Gulf Coast.