Patrick Industries has completed the acquisition of G.G. Schmitt & Sons, a designer and manufacturer of customized hardware and structural components, including marine towers, seats, ladders, handrails, port lights, and other metal hardware and related products, primarily for major OEMs in the marine industry.
A purchase price was not disclosed.
G.G. Schmitt is headquartered in Lancaster, Pa., with two additional locations in Sarasota, Fla., and Summerville, S.C. G.G. Schmitt’s trailing 12-months revenue through August was approximately $20 million and the company expects the acquisition to be immediately accretive to net income per share.
The acquisition of G.G. Schmitt includes the acquisition of accounts receivable, inventory, and machinery and equipment, and was funded under the company’s credit facility. Patrick will continue to operate G.G. Schmitt on a stand-alone basis under its brand name in its existing facilities.
“G.G. Schmitt’s excellent reputation within the marine industry has been built over many decades based on its high-quality products, engineering expertise, and strong industry relationships,” said Todd Cleveland, chairman and CEO of Patrick. “This acquisition is aligned with our strategic initiatives and capital allocation strategy and we look forward to working with the G.G. Schmitt team to help further drive brand value.”
“We believe the marine industry is well-positioned for long-term growth, and we are excited to partner with the G.G. Schmitt team, which has a proven track record of consistently and creatively adapting to changing dynamics in the marine space. We continue to foster and strengthen our marine customer relationships with G.G. Schmitt’s high-quality, innovative custom product solutions and their legacy of excellent customer service,” said Andy Nemeth, president of Patrick. “G.G. Schmitt’s brand platform and highly engineered processes and products, as well as its longstanding relationships with leading marine OEM customers, have been instrumental in expanding its customer base within the recreational boating market. Consistent with previous acquisitions, we will support G.G. Schmitt 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.”
“After more than 68 years as a family-owned business in the marine industry, we are incredibly pleased to join the Patrick family which will continue to support the G.G. Schmitt team and our plans for continued growth and expansion,” said Ron Schmitt, CEO of G.G. Schmitt. “We are excited to be a part of Patrick’s family of brands and are looking forward to the next phase of executing on the many strategic initiatives and opportunities in front of us.”
