Patrick Completes Purchase of Tennessee Manufacturer
(photo courtesy of Patrick Industries)
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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowElkhart-based Patrick Industries (Nasdaq: PATK) has announced the acquisition of Metal Moulding Corp. in Tennessee. The deal is worth $20 million with the potential for up to $2 million more based on performance metrics.
MMC manufactures custom metal fabricated products, mainly for the marine market, like hinges, arm rests, panels and trim, along with plastic products, including boxes and inlay tables. "This acquisition is well-aligned with our strategic initiatives and capital allocation strategy to continue to grow our content in the primary markets we serve," said Patrick Chief Executive Officer Todd Cleveland. "MMC is a high-quality custom fabricator of a variety of metal and plastic products to OEMs in the marine industry, and their product offering complements our existing metal fabrication expertise and product portfolio."
"MMC’s custom design, engineering, manufacturing, fabrication, and powder coat capabilities, coupled with their tremendous long-standing reputation and comprehensive suite of component products, will position us to further expand our presence in the growing marine market," said Andy Nemeth, president of Patrick. "Consistent with previous acquisitions, we will support MMC 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."
MMC Founder and President Jimmy Parrish said, "After more than 30 years in business, we are excited to partner with Patrick whose vast portfolio of products, resources, and customer first approach will help to further grow the MMC brand and bring a variety of value added solutions to our customers and markets. We feel that Patrick is a great fit for our team and we are poised to continue to grow our business, customer relationships, and brand platform."
The acquisition includes accounts receivable, machinery and equipment, and inventory. Patrick will continue to operate MMC as a stand-alone business under its current brand and existing facility. Patrick has locations in 20 states and China. The company has continued its acquisition activity from 2017. You can learn more about Patrick’s acquisitions by clicking here.