ELKHART, Ind., March 19, 2018 /PRNewswire/ -- Patrick
Industries, Inc. (NASDAQ: PATK) ("Patrick" or the "Company")
announced today that it has completed the acquisition of the
business and certain assets of Bristol,
Indiana-based Collins & Company, Inc. ("Collins"), a
distributor of appliances, trim products, fuel systems, flooring,
tile, and other related building materials primarily to the
recreational vehicle ("RV") market as well as the housing and
industrial markets. Collins' full-year 2017 revenues were
approximately $57 million. The total
cash consideration paid was approximately $36.5 million. The Company expects the
acquisition to be immediately accretive to net income per
share.
"Collins' industry reputation and innovative product offerings
provide us with an opportunity to leverage our existing platform
and expertise within our distribution businesses and our nationwide
geographic footprint to expand our presence in the RV, housing and
industrial markets, and further increase our RV content per unit,"
said Todd Cleveland, Chief Executive
Officer of Patrick.
"The acquisition of Collins is well-aligned with our strategic
initiatives and capital allocation strategy focused on partnering
with strong management teams and driving brand value within the
markets we serve," said Andy Nemeth,
President of Patrick. "Consistent with previous acquisitions, we
will support Collins with a financial and operational foundation
that will allow it to capitalize on its core competencies while
preserving the entrepreneurial spirit that has been so important to
its success."
Rich Collins, President of
Collins, said, "After more than 20 years in business, Collins'
exceptional team and I are excited to partner with the Patrick
organization, which shares our long-term vision to be a premier
high-quality distributor to the markets we serve."
The acquisition of Collins included the acquisition of accounts
receivable, inventory, prepaid expenses, and machinery and
equipment, and was funded under the Company's existing credit
facility. Patrick will continue to operate Collins on a
stand-alone basis under its brand name in its three existing
facilities.
Patrick Industries, Inc.
Patrick Industries, Inc. is a major manufacturer of component
products and distributor of building products serving the
recreational vehicle, manufactured housing, marine, kitchen
cabinet, office and household furniture, fixtures and commercial
furnishings, and other industrial markets and operates
coast-to-coast through locations in 20 states and in China. Patrick's major manufactured products
include decorative vinyl and paper laminated panels, countertops,
fabricated aluminum products, wrapped profile mouldings, slide-out
trim and fascia, cabinet doors and components, hardwood furniture,
fiberglass bath fixtures and tile systems, thermoformed shower
surrounds, specialty bath and closet building products, fiberglass
and plastic helm systems and component products, wiring and wire
harnesses, electrical systems components including instrument and
dash panels, softwoods lumber, interior passage doors, RV painting,
slotwall panels and components, aluminum fuel tanks, and CNC molds
and composite parts and other products. The Company also
distributes drywall and drywall finishing products, electronics and
audio systems components, wiring, electrical and plumbing products,
appliances, cement siding, raw and processed lumber, FRP products,
interior passage doors, roofing products, laminate and ceramic
flooring, shower doors, furniture, fireplaces and surrounds,
interior and exterior lighting products, and other miscellaneous
products.
Cautionary Statement Regarding Forward-Looking
Statements
This press release contains certain statements related to future
results, our intentions, beliefs and expectations or predictions
for the future, which are forward-looking statements as that term
is defined in the Private Securities Litigation Reform Act of 1995.
Any projections of financial performance or statements concerning
expectations as to future developments should not be construed in
any manner as a guarantee that such results or developments will,
in fact, occur. There can be no assurance that any forward-looking
statement will be realized or that actual results will not be
significantly different from that set forth in such forward-looking
statement. The Company does not undertake to publicly update or
revise any forward-looking statements except as required by law.
Factors that may affect the Company's operations and prospects are
contained in the section entitled "Risk Factors" in the Company's
Annual Report on Form 10-K for the year ended December 31, 2017, and in the Company's Form
10-Qs for subsequent quarterly periods, which are filed with the
Securities and Exchange Commission ("SEC") and are available on the
SEC's website at www.sec.gov.
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SOURCE Patrick Industries, Inc.