RV and manufactured housing industry supplier firm Drew Industries Inc. announced today (June 4) that it has completed the acquisition of manufactured home industry supplier Better Bath from Chapter 11 bankrupt supplier/distributor Kevco Inc.
Drew will pay $9.8 million in cash, adjusted for changes in Better Bath’s working capital from March 31 until the date of closing. The exact amount will be calculated within the next 30 days.
Goodwill related to the acquisition is expected to be about $3 million.
Better Bath will be operated as a part of Drew’s Kinro subsidiary.
During 2000, Better Bath had sales of around $27.7 million and its earnings before interest, taxes, depreciation and amortization was $3 million, excluding one-time only items.
“The acquisition of Better Bath will broaden the Kinro product lines and further demonstrates that Drew is dedicated to being a major supplier to the manufactured housing industry,” said David Webster, president and CEO of Kinro.
Kevco, which also supplies RV industry customers, is being liquidated under U.S. Bankruptcy Court supervision.