The Swedish equipment provider is looking to leverage and expand Kampa’s aftermarket offering across Europe
Sweden-based Dometic Group has announced the simultaneous signing and closing of a deal to acquire Kampa, a UK outdoor leisure company focused on lightweight and inflatable awning and tent products and accessories.
With approximately £40m in aftermarket sales for the 2018 financial year, Kampa is an asset-light business including outsourced manufacturing and a central warehouse in the Netherlands covering distribution across Europe.
Dometic said the acquisition strengthens and expands its position in Retail and Aftermarket through new product areas, a broader distribution network and strong market presence.
“Kampa complements our product portfolio and strengthens our global offer to make Dometic even more relevant to our current and future customers,” says Juan Vargues, president and CEO of Dometic.
Under the terms of the agreement, Dometic is making a cash purchase of £50m for Kampa fully financed via cash on hand. The acquisition is debt free, and includes a maximum earn-out element of £8.5m based on delivery of financial targets in 2019 and 2020.
Dometic employs approximately 8,800 people worldwide and had turnover of SEK 14bn (£1.2m) in 2017. Net sales in the company’s 2018 third quarter were up 32%, with 1% attributable to organic growth. For the nine-month period ended 31 October, sales were also up 32% up, with 7% due to organic growth and 22% due to M&A activity, including the SeaStar acquisition in 2017. The marine segment now represents 25% of Dometic’s annual sales while recreational vehicles (RVs) account for 55% of sales, down from 65% prior to the purchase.