The Recreation Vehicle Industry Association commissioned an Economic Impact Study on the RV industry, released on June 7, 2016. The study found that the RV industry contributes about $49.7 billion in economic output or 0.28 percent of the Gross Domestic Product. Through its production and distribution linkages, the industry impacts firms in 426 of the 440 sectors of the United States economy.
Nationwide, the industry is responsible for 216,170 jobs, both directly and inderectly, creating an economic impact of $37.5 billion. The full study results, along with each individual state and congressional district's economic impact is available on the website by clicking here .
Wed Nov 1, 2017
Author: Scott Hansen
The acquisition of Lazydays RV by Adina Acquisition Corp. II was in the works for several months, as executives from both sides waited and worked for the optimal time to make the announcement official.
On Monday, Oct. 30, the two sides agreed the time had come and the market conditions were in a prime position for the acquisition to be beneficial for everyone involved.
"I think the time was right for a couple reasons," Lazydays Chairman and CEO Bill Murnane says. "It was the right time for former shareholders to sell. They had been in investments for a long time. From that perspective, we wanted to give some capital back to our investors. Secondly, a strong RV market made it a good time. It's an RV market that's ready for one of the bigger RV dealers to step out and grow a little more aggressively. Those things combined made it the right time."
Acquisitions which involve a private equity fund such as Adina can often be in the works for several months or longer, as the two sides continue to look for the right time to exit. Murnane says this particular acquisition was in the works for three to six months.
The acquisition gives Lazydays the ability to rapidly become a public company without the time-consuming and convoluted process of coming up with a traditional public offering, Murnane said in a press release announcing the transaction.
"It gives us more cash at the end of this transaction, more cash available to grow as a public company," Murnane says. "It also gives us access to more capital."
The acquisition was estimated at $85 million in cash and about 2.9 million common shares of the combined company. However, there will be no personnel changes, according to Murnane who will stay in his leadership role of the company, as will all other senior managers at Lazydays. In fact, Murnane says there are almost no changes to implement.
"That's the beauty of this transaction," Murnane says. "To be honest, there's not a whole lot of changes. It's business as usual for us. The one thing that will change will be purely from an administrative function of producing a quarterly statement now that we would be a public company. But from an operating standpoint, nothing changes."
At the conclusion of this transaction, the combined company will be renamed Lazydays Holdings Inc. and Lazydays RV will become a wholly-owned subsidiary of Lazydays Holdings and will be publicly listed on the NASDAQ stock exchange under the new ticker LAZY.
The process of making the transition complete will likely take several months, as the company will need to go through an SEC review before it can become official, Murnane says.
According to Murnane, the transaction should be complete by the first quarter of 2018.
"We're really excited," he says. "It's business as usual for us."