Dometic sells seating and chassis component business
Dometic Group, supplier of products for mobile living, has entered an agreement to sell the seating and chassis component business of its subsidiary Atwood Mobile Products to Lippert Components, a wholly-owned subsidiary of Drew Industries Incorporated. Lippert is best known as a slide out manufacturer.
The divestment includes a production site in Elkhart, Indiana. Sales of the divested business for 2015 were approximately USD30 million.
“The sale of the seating and chassis components business is another result of our active portfolio management, with the aim to create a more focused and competitive Dometic. We have a suitable buyer in LCI, as this business fits with their current offering. For Dometic, this means that we will be able to further increase our focus and develop our world-leading position in the core areas Climate, Hygiene & Sanitation and Food & Beverage”, said Roger Johansson, President and CEO of Dometic.
The selling price is USD12.5 million, which will be paid in cash. This transaction will trigger a write-down mainly relating to intangible assets of USD 3.0-3.5 million, which will be recorded in the fourth quarter results. The transaction is expected to be completed in November 2016.