Volvo Penta said it signed an agreement to become the majority owner of outboard engine manufacturer Seven Marine.
The company made the announcement today just ahead of a late-morning press conference.
Seven Marine will operate as a standalone entity, retaining its brand, product line and organizational structure. Volvo Penta of the Americas president Ron Huibers will be the chairman of Seven Marine and Rick Davis will remain as Seven Marine’s president and CEO.
“With this acquisition, Volvo Penta is entering the outboard motor segment,” Volvo Penta president Björn Ingemanson said in a statement. “With Seven Marine, we are on a journey to expand the scope of supply with our customers and invest in the growth of a platform to shape the future of the outboard industry.”
The deal will broaden Volvo Penta’s technology platform, offering a modular solution, regardless of the energy source, the company said.
Volvo Penta said Seven Marine will be able to further develop its existing innovative outboard technology to satisfy a wider range of needs for its premium and exclusive customer base. Volvo Penta also said the acquisition will strengthen their combined footprint in the marine market.
“This is an exciting step for Volvo Penta,” Huibers said. “We are combining the strength of two highly innovative companies to deliver an unbeatable engine range for the gasoline segment. We will not only come to market with an extremely attractive outboard solution, but we will deliver the benefits of our world-class service network to a broader range of customers.”
Seven Marine, based in Milwaukee, was founded in 2010 by a team with many years of specialist experience in marine technology. The company produces the most powerful outboard models in the world, running at 557 and 627 hp. For that reason the company is able to meet the demand for larger, outboard-powered boats, Volvo Penta said.
Volvo Penta said Seven Marine’s small block V8 engines are fitted horizontally and leverage automotive technology. This includes the use of fresh-water cooling for enhanced durability and corrosion protection and a supercharger to produce performance.
The use of automotive technology is a common aspect between Volvo Penta’s gasoline sterndrive range and Seven Marine’s outboard motors — Volvo Penta uses General Motors engine blocks to produce sterndrive engines. Seven Marine’s approach to exploring new techniques and design architecture is a key driver behind Volvo Penta’s decision to become majority owner in Seven Marine, the company said this morning.
“The Seven Marine concept mirrors the successful strategy we have followed in pursuing automotive technology,” Ingemanson said. “Just as we are a leader in diesel and gasoline engine technology, Seven Marine leads its market for state-of-the-art outboards.”
“We have a shared vision for the future, and this deal provides an ideal platform for us to grow and adapt together,” he said. “We will move forward in leading the development of world-class performance and sustainability for the most premium of outboard motor segments.”