Patrick Industries, Inc. (NASDAQ: PATK), a leading component products and building materials manufacturer and distributor, has broadened its footprint in the recreational vehicle (RV) industry with the acquisition of Synergy RV Transport, Inc. Based in Goshen, Indiana, Synergy RV Transport is recognized as a premier transportation and logistics provider specializing in serving original equipment manufacturers (OEMs) and dealers within the RV market. The acquisition, finalized on August 28, 2020, encompasses Synergy’s working capital and other assets, and is expected to be immediately accretive to Patrick Industries’ net income per share.
Synergy RV Transport operates as a crucial link in the RV supply chain, utilizing a network of independent contracted drivers to manage the transportation of towable, flatbed, and motorized RVs. These vehicles are efficiently moved from RV OEM manufacturing plants to dealer locations across the continental United States and Canada. In 2019, Synergy RV Transport generated approximately $46 million in revenue, underscoring its significant role in the RV transportation sector.
“Synergy RV Transport has established itself as a leading transportation service provider and a vital supply chain partner within the RV industry,” stated Andy Nemeth, President and Chief Executive Officer of Patrick Industries. “Their commitment to a customer-centric approach and ability to offer comprehensive, one-stop-shop solutions have been key to their success. This acquisition presents a compelling growth opportunity for Patrick Industries, allowing us to collaborate with the experienced Synergy RV Transport team to further develop our RV transport platform and network. Mirroring our approach with previous acquisitions, we are committed to providing Synergy RV Transport with a robust financial and operational framework. This support will enable them to leverage their core strengths and continue to cultivate the entrepreneurial spirit that has been fundamental to their achievements.”
The co-founders of Synergy RV Transport, Kyle Newcomer and Ben Brunner, expressed enthusiasm about the integration, stating, “Patrick Industries is an ideal partner for our team, our operations, and our customer base. We believe Patrick Industries will be an invaluable resource in supporting the continued growth of the Synergy RV Transport brand. We share Patrick’s vision of prioritizing superior customer service and a customer-first philosophy. This alignment will undoubtedly assist us in expanding our business reach with both our existing clientele and new dealers and manufacturers within the RV market.”
Patrick Industries intends to maintain Synergy RV Transport’s operational autonomy, allowing it to continue operating under its established brand name and from its current facilities and transport yards. This strategy reflects Patrick Industries’ proven approach to acquisitions, focusing on fostering growth and preserving the acquired company’s unique strengths.
About Patrick Industries, Inc.
Patrick Industries, Inc. is a major force in the manufacturing and distribution of component and building products, serving a diverse array of markets including recreational vehicles, marine, manufactured housing, residential housing, and various industrial sectors. With a widespread operational network spanning coast-to-coast in the United States, as well as locations in Canada, China, and the Netherlands, Patrick Industries demonstrates a significant global presence. The company’s extensive product portfolio encompasses decorative vinyl and paper laminated panels, countertops, fabricated aluminum products, and numerous other essential components. Patrick Industries also distributes a wide range of products, including drywall, appliances, lumber, and provides transportation and logistics services, further solidifying its position as a comprehensive supplier in its served markets.
Forward-Looking Statements
It is important to note that this announcement contains forward-looking statements regarding future results and expectations, as defined by the Private Securities Litigation Reform Act of 1995. These statements are subject to risks and uncertainties, including the impact of the COVID-19 pandemic, economic conditions, competition, and regulatory factors. Actual results may differ materially from projected results. For a comprehensive list of potential risk factors, please refer to Patrick Industries’ Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC), available on the SEC’s website. Patrick Industries undertakes no obligation to update forward-looking statements in this release.
