Cavco Industries’ wholly-owned subsidiary, FH Group, has acquired the business and certain assets of Fairmont Homes.
Fairmont, headquartered in Nappanee, Ind., is a premier builder of manufactured and modular homes and park model RVs. Fairmont has manufacturing plants in Indiana and Minnesota.
“We are pleased to have the Fairmont business and employees join the Cavco group of companies,” Cavco President Joe Stegmayer said. “We believe that Fairmont’s strong production capabilities, reputation for product quality and service and its excellent customer base fit well with Cavco’s philosophy and approach to doing business.
The purchase price, which was paid in cash at closing, was not disclosed.
This acquisition was funded with Cavco’s internal capital. Certain liabilities were also assumed, including homeowner warranty programs. The company remains well-positioned to take advantage of other investment opportunities in the future.
“The opportunity for Fairmont to join with Cavco is a truly exciting development for our dedicated associates and great customers,” Jim Shea, chief executive officer of Fairmont said. “After an extended period of discussions, we recognized that Cavco shares a business philosophy similar to our own. It is an organization that will provide our customers and employees much opportunity for continued growth and success. I offer my full support to ensure a smooth transition and a great future for Fairmont.”
Fairmont homes and park model RVs will continue to be marketed under the Fairmont, Friendship, Harmony and Century brand names. Brian Cira, president of Fairmont Homes and a 28-year veteran of the company, will remain in the same role with responsibility for all operations of the Fairmont business.