Patrick Industries Inc. announced today (March 19) that it has completed the acquisition of the business and certain assets of Bristol, Ind.-based Collins & Co. Inc., a distributor of appliances, trim products, fuel systems, flooring, tile, and other related building materials primarily to the recreational vehicle market as well as the housing and industrial markets.
According to a press release, Collins’ full-year 2017 revenues were approximately $57 million. The total cash consideration paid was approximately $36.5 million. Patrick 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 Patrick CEO Todd Cleveland.
“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, added, “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 buyout 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.