Camping World to Acquire Seven Lazydays Retail Locations – RVBusiness – Breaking RV Industry News

LINCOLNSHIRE, Ill. – Camping World Holdings, Inc. (NYSE: CWH), the World’s Largest Recreational Vehicle Dealer, today announced that it has entered into an agreement to acquire the assets and certain real estate of seven dealerships from Lazydays Holdings Inc.

For more on this acquisition – including the sale of an unspecified eighth Lazydays dealership to an unnamed entity and an investment firm’s purchase of Lazyday stock – see the following related postings:

CWH estimates the transaction to be valued at approximately book value, the release continued, with an estimated total net cash outlay of between $10 million to $20 million after expected proceeds from normal course third-party real estate financing, according to a release. In lieu of goodwill consideration, Camping World has elected to maximize its optionality by having the deposit on the transaction convert to 9.7 million shares of Lazydays Holdings Inc. common stock upon closing of the transaction following receipt of necessary regulatory approvals.

Camping World estimates that the seven locations generated nearly $200 million of revenue on a trailing twelve-month basis, during a trough RV market. These locations carry a more traditional mix of travel trailer, fifth-wheel, Class B and Class C product from top OEM brands including Grand Design RV Co., THOR Industries and Forest River Inc.. The company estimates that the market size within a 50-mile radius of each dealership is a combined 65,000 plus new and used RV units sold annually, representing strategic market share growth opportunities for Camping World.

Marcus Lemonis, chairman and CEO of Camping World, commented, “These seven locations bring top OEM brands, incremental market share opportunity, and a more traditional RV product mix that align with our strategic priorities. We are adding distribution points for our contract manufactured offerings and Good Sam suite of products, with F&I offices immediately converting to Good Sam Business Centers upon close. We expect to continue to capitalize on today’s robust dealership M&A environment.”

Camping World intends to acquire and operate the following Lazydays Holdings, Inc. locations:

1. Surprise, AZ (Phoenix)
2. Murfreesboro, TN (Nashville)
3. Sturtevant, WI (Milwaukee)
4. Council Bluffs, IA
5. Elkhart, IN
6. Portland, OR
7. Woodland, WA (Vancouver)

Source: https://rvbusiness.com/camping-world-to-acquire-seven-locations-from-lazydays/?utm_source=rss&utm_medium=rss&utm_campaign=camping-world-to-acquire-seven-locations-from-lazydays