Brunswick Corporation has acquired Sea Pro Boats, Inc., and Sea Boss Boats, LLC, of Newberry, S.C., for approximately $51 million in cash. These entities produce the Sea Pro, Palmetto and Sea Boss brands of saltwater fishing boats. Additionally, there is a $4 million earn-out provision in the transaction, which will be based on achieving 2005 performance objectives. These brands had sales estimated at approximately $80 million in 2004.
The Sea Pro, Sea Boss and Palmetto brands will join with Brunswick’s Boston Whaler to form a new Saltwater Boat Group, based in Edgewater, Fla. Michael W. Myers, currently president of Boston Whaler, will head up the new business unit, reporting directly to Dustan E. McCoy, president of the Brunswick Boat Group.
Sea Pro will continue to be based in Newberry with founder Tommy Hancock remaining as president. He will report to Myers, who also will continue to direct day-to-day operations at Boston Whaler until a successor is named.
“Two strategic goals for Brunswick are to fill in the white space in key and growing segments of boating and to better embrace our dealers by offering them the opportunity to represent a broad array of boats and prestigious brands. We believe this acquisition fulfills both of those objectives,” explained Brunswick Chairman and Chief Executive Officer George W. Buckley. “Boston Whaler is one of the best known and most highly regarded brands in boating. The Sea Pro, Sea Boss and Palmetto brands will augment our saltwater portfolio. In turn, as with all our acquisitions, we will focus Brunswick’s financial and technical resources and expertise on growing and advancing these brands.”
“As we have done with other companies that have joined the Brunswick Boat Group, we have found an able and inventive partner in Sea Pro,” said McCoy. “These are strong brands with solid management and operations, along with a dedicated work force. We look forward to the contributions they will make to the Boat Group, and believe that with our focus, commitment and the additional resources Brunswick can offer, these operations will become stronger in the marketplace.”
“A 17-year veteran of the boating industry, Mike Myers has done an excellent job of solidifying the reputation and raising the profile of Boston Whaler, one of the most prominent brands in boating,” explained McCoy. “With the combination of the well-known and respected Sea Pro, Sea Boss and Palmetto brands, a stalwart management team and a dedicated organization focusing on saltwater, the Brunswick Boat Group will now have a more meaningful presence in offshore fishing, and a more complete and potent line-up for our dealers.”
