Patrick Buys Certain Assets of RV Supplier AIA
Patrick Industries Inc. announced today (Sept. 19) that it has completed the acquisition of certain assets of Syracuse, Ind.-based AIA Countertops LLC, a premier fabricator of DuPont Corian countertops, backsplashes, tables, signs and other products for the RV and commercial markets, for a net purchase price of approximately $5.7 million. AIA’s projected annualized revenues are approximately $20 million.
“The acquisition of AIA is a natural fit with Patrick’s existing RV and commercial businesses as it will afford us the opportunity to gain additional penetration and foothold in the RV and industrial market sectors and bring added value to our customers in terms of innovation, price, flexibility and product offering,” said Todd Cleveland, president and CEO for Elkhart, Ind.-based Patrick Industries. “Additionally, the strength and dedication of AIA’s management team, with more than 27 years of industry and operational experience, and its solid reputation in the marketplace will be an asset to our organization as we continue to capitalize on our core competencies and execute on our strategic initiatives.”
Patrick Industries said that the acquisition was primarily funded through borrowings under the company’s revolving credit facility and subordinated financing provided by Northcreek Mezzanine Fund I L.P. and an affiliate of Northcreek, in the form of secured senior subordinated notes. Northcreek is an existing lender to and shareholder of Patrick.
In addition, certain former members of AIA’s ownership group will carry a note receivable from Patrick Industries. AIA’s current management team will continue to manage the operation under the AIA name in its existing manufacturing facility following the closing.