MHProNews has learned from streetinsider that Lippert Components, Inc., the wholly-owned subsidiary of Drew Industries, Inc. (NYSE:DW) has acquired the pontoon furniture manufacturing business of Highwater Marine, LLC, which is a leading manufacturer of pontoon boats and other recreational marine craft. Both Drew and Highwater are situated in Elkhart, IN.

Highwater’s boat brands were recently acquired by Bennington—also in Elkhart– the largest manufacturer of pontoon boats in the U. S. following its acquisition of Nautic Global Group. Highwater’s estimated revenue from the marine furniture business for 2015 was $20 million.

Lippert paid $10 million for Highwater, in addition to which the two firms entered into a five-year supply agreement.

Drew’s President, Scott Mereness, said, “Building on our August 2015 acquisition of Signature Seating in Fort Wayne, Indiana, this acquisition will further expand our marine furniture capacity by adding the Highwater manufacturing facility in Elkhart to the LCI footprint. We are excited to partner with Bennington on the transition of its Highwater furniture business and to strengthen our position in the marine furniture market.”

Mereness added, “We estimate that the market size for pontoon boat furniture is approximately $125 million, and we expect this acquisition to be immediately accretive to Drew’s earnings.”

MHProNews knows Drew Industries as a component supplier to the manufactured housing and recreational vehicle industries.##

(Image credit: Drew Industries, Inc.)

Article submitted by Matthew J. Silver to Daily Business News-MHProNews.