MarineMax Strengthens Western Presence Through Acquisition
MarineMax, Inc. , the nation's largest recreational boat retailer, announced today that it has acquired Sundance Marine, Inc. (Sundance Marine), a privately held boat dealership with locations in Denver and Grand Junction, Colorado. Through its Grand Junction location, Sundance Marine generated approximately $10 million of revenue in its most recently completed fiscal year. The Denver location was recently opened and is expected to add $5 million in incremental sales during its first full year.
Under the terms of the agreement, MarineMax acquired substantially all the assets and assumed certain liabilities of Sundance Marine for approximately $3.3 million in cash. MarineMax expects the transaction to be accretive in its first full twelve months and to further improve future financial performance as the full synergies from the acquisition are realized.
Mr. William H. McGill, Jr., Chairman, President, and Chief Executive Officer of MarineMax, stated, "We are very excited to have Sundance Marine join the MarineMax team. Sundance has a reputation for quality service and strong customer support. Dan Mundy, principal of Sundance Marine, has become the premier Colorado marine retailer by building a team that is passionate about the lifestyle of boating, and that focus is clearly consistent with MarineMax's culture. In addition, it is located in one of the faster growing boating markets in the United States, providing an exciting opportunity for future growth."
Mr. Dan Mundy added, "Sundance Marine utilizes similar operating strategies as MarineMax, especially with regard to customer service. We believe the acquisition will enable us to share best practices, drive synergies, and capitalize on MarineMax's financial strength. Finally, integrating their systems and training will allow us to better serve our customers, especially in the Lake Powell boating market."
Headquartered in Clearwater, Florida, MarineMax primarily sells premium quality recreational boats, such as Sea Ray, Hatteras, and Boston Whaler, through 62 retail locations serving Arizona, California, Colorado, Delaware, Florida, Georgia, Minnesota, Nevada, New Jersey, North Carolina, Ohio, South Carolina, Texas and Utah and offers yacht brokerage services through MarineMax Motor Yachts, its wholly owned Yachts and Brokerage subsidiary. MarineMax is a New York Stock Exchange-listed company.
Certain statements in this press release are forward-looking as defined in the Private Securities Litigation Reform Act of 1995. These statements involve certain risks and uncertainties that may cause actual results to differ materially from expectations as of the date of this release. These risks include the ability to accomplish goals and strategies, the success of the acquisition program, synergies expected from acquisitions, anticipated service revenue enhancements, general economic conditions and the level of consumer spending, the Company's ability to integrate acquisitions into existing operations and numerous other factors identified in the Company's Form 10-K and other filings with the Securities Exchange Commission.