Matrix Announces the Successful Sale of Engineered Metals and Composites, Inc.
RICHMOND, VA – October 1, 2018 – Matrix Capital Markets Group, Inc. (“Matrix”), a leading, independent investment bank, is pleased to announce the sale of West Columbia, South Carolina-based Engineered Metals and Composites, Inc. (“EMC” or the “Company”) to Patrick Industries, Inc. (NASDAQ: PATK) (“Patrick”), a publicly-traded manufacturer of component products and distributor of building products and materials for the recreational vehicle, manufactured housing, marine, and various other industrial markets. The transaction closed on September 28.
Founded in 1998, EMC is a leading designer and manufacturer of custom marine towers, frames, and other fabricated component products for OEMs in the marine industry. The Company is strategically positioned in a region that is home to some of the largest saltwater boat manufacturers in North America. Under the leadership of Founder and Chief Executive Officer Ed Forbes and President Chris Wainscott, the Company has expanded its design and engineering capabilities, as well as its manufacturing footprint, to support the growing needs of its impressive customer base.
“EMC’s technical expertise and innovative product offerings complement our marine product portfolio, and provide us with an excellent opportunity to further penetrate the marine market, increase our content per unit, and leverage our existing capabilities within our marine-centric brands,” said Todd Cleveland, Chairman and Chief Executive Officer of Patrick. “This acquisition is aligned with our strategic initiatives and capital allocation strategy and we look forward to working with the EMC team to help further drive brand value.”
“We believe the marine industry is well-positioned for continued growth and we are excited to partner with Ed Forbes, Chris Wainscott, and the EMC team to further expand our presence as a key component supplier in this space through high-quality, innovative custom product solutions and excellent customer service,” said Andy Nemeth, President of Patrick. “EMC’s industry reputation for metallurgical expertise, highly engineered processes and products, and continuous innovation and product quality, as well as its longstanding relationships with leading marine OEM customers, has been instrumental in expanding its customer base within the recreational boating market. Consistent with previous acquisitions, we will support EMC with a financial and operational foundation that will allow it to capitalize on its core competencies while preserving the entrepreneurial spirit that has been so important to its success.”
Ed Forbes added, “After more than 35 years in the marine industry, I am excited to partner with Patrick to further drive and support the EMC team and our plans for continued growth. Patrick’s strategic resources and marine industry presence, capabilities, and vision align with our goal of providing the highest quality innovative solutions to our customers.”
Matrix served as exclusive financial advisor to EMC. The transaction was led by David Shoulders, Managing Director, and William O’Flaherty, Vice President. Robbie Nickle, Associate, and John Mosser, Analyst, also advised on the transaction. Regarding Matrix’s services, Mr. Forbes commented, “Chris and I have been overwhelmed by the level of service that the Matrix team has provided us and our business. Throughout a complex process for us, we always felt they provided exceptional advice and guidance. They have gone above and beyond our expectations and found a perfect home for EMC.”
Mr. Shoulders added, “We are thrilled to have been able to assist Ed, Chris, and the EMC team during this transition. We are confident that the partnership between EMC and Patrick will have a tremendous benefit for all customers, suppliers, and employees involved.”