Elkhart, Ind.-based Patrick Industries Inc. announced today (March 5) that it has completed the acquisition of the business and certain assets of Decor Mfg. LLC, a premier laminating operation located in Tualatin, Ore., for a purchase price of approximately $4.4 million. According to a press release, Decor primarily produces laminated and wrapped products for the Oregon recreational vehicle market.
“The Oregon market is significant in terms of RV market potential as it relates to overall Northwestern United States RV production levels, and we estimate it to be the second largest RV producing geographic sector outside of the Midwest,” stated Todd Cleveland, president and CEO of Patrick, an RV and manufactured housing supplier. “We are excited about partnering with the extremely talented management team at Decor, who have built long-standing trusted relationships with customers in the Northwest.
“They will be an asset to Patrick as we look to continue to bring value to our customers in terms of price, flexibility, proximity, innovation, quality, and an overall ease of doing business. In addition to providing opportunities for the company to increase its market share and per unit content, we believe the acquisition will afford immediate potential to establish a significant RV presence in the Northwest.”
The acquisition was funded through borrowings under Patrick’s revolving credit facility and the issuance of 100,000 shares of Patrick common stock. The company estimates Decor’s annualized 2012 revenues to be approximately $17 million.
The business will continue to operate on a stand-alone basis under the Decor Mfg. name in its existing manufacturing facility in Tualatin. Patrick currently operates a high-pressure laminate manufacturing cell for the industrial market and a distribution center for the RV and manufactured housing markets in its existing nearby Woodburn, Ore., facility.