Elkhart, Ind.-based supplier Patrick Industries Inc. announced today (Feb. 17) that it has completed the acquisition of the business and certain assets of Better Way Partners LLC, dba Better Way Products, with operating facilities located in New Paris, Bremen and Syracuse, Ind.
According to a news release, Better Way is a high-quality manufacturer of fiberglass components primarily used in the recreational vehicle, marine and transit vehicle markets. Patrick projects Better Way’s 2015 annual revenues to be approximately $50 million and expects the acquisition to be immediately accretive to 2015 net income per share.
“The acquisition of Better Way, which is recognized as an industry leader in the manufacturing of a wide array of fiberglass components for OEMs in the RV, marine and transit vehicle industries, is a natural fit with our other recently acquired fiberglass operations,” said Todd Cleveland, president and CEO of Patrick. “Better Way brings many advantages to our company, including high-quality product lines and customer service, strategic design and supplier relationships, significant industry and fiberglass operational experience, and breadth and depth of products. Consistent with our previous acquisitions, we will support Better Way with the financial and operational foundation that will allow it to preserve the entrepreneurial spirit that has been so important to its success.”
The net purchase price for Better Way of approximately $40 million was funded under Patrick’s existing revolving secured senior credit facility, and includes the acquisition of accounts receivable, inventory, prepaid expenses, and machinery and equipment. Patrick will continue to operate the business on a stand-alone basis under the Better Way brand name in its existing facilities.
“Better Way’s excellent reputation for innovative designs, high-quality products, and exceptional in-house engineering capabilities will afford us the opportunity to further expand our expertise, presence, and footprint in the fiberglass and fiberglass components market within the industries we serve,” Cleveland further noted. “Additionally, we are excited about bringing our two companies together to become a larger supplier to the marine industry for high-quality, customized engineered fiberglass components. We are looking forward to strengthening customer relationships through value added innovation and intuitive designs, and continuing to drive our business model through the execution of our strategic initiatives.”