The problem is Dometic is owned mostly by banks:
New Ownership Structure for Dometic
Dometic Group has reached an agreement regarding a new ownership structure and financing
Dometic’s majority owner – BC Partner – and a bank consortium led by Mizuho have reached an agreement with the result that the Dometic Group will have a new ownership structure. The bank consortium will be the principal owner with 70 percent of the shares. The agreement will significantly lower Dometic’s debt and interest expenses. With the decision on ownership and financing, the Group’s future existence and competitiveness is guaranteed.
The agreement means that Dometic’s net debt will be reduced from about SEK 13 billion to about SEK 8 billion. At the same time, interest expense will decline by 70 percent from SEK 750 M to SEK 250 M on an annual basis. Dometic will also obtain an expanded credit facility of SEK 400 M for more aggressive market investments.
The banks will become the principal owners with 70 percent of the shares. Dometic’s management and other key personnel, totaling some 100 persons, will own 25 percent, and representatives from the Board of Directors will own 5 percent. Over time, a new Board of Directors will be appointed with representatives from industry, banks, employee organizations and Dometic’s management. A representative from the industry will act as Chairman.
Dometic has been severely affected by the global recession. At the same time, the Group’s debt has been too high. The caravan and motor home industry, as well as the leisure boat industry, have reduced production by between 30 and 50 percent. That had a severe impact on Dometic and forceful measures were required to adapt the Group’s costs to the prevailing market climate. Over the past year, costs were reduced by about 35 percent.
Despite this totally changed market situation, Dometic’s business is profitable. For the period from January to June 2009, sales amounted to slightly more than SEK 3.5 billion (4.9), and operating profit before depreciation was SEK 327 M (818). Dometic reported a positive cash flow from operations after tax of SEK 118 M (243) and had nearly SEK 1 billion in cash and cash equivalents.
“Dometic is fundamentally an excellent company with completely unique market positions won through technical advances and excellent customer relations. Through this reconstruction, Dometic’s management will once again be able to concentrate wholeheartedly on further developing the business, nurturing partnerships with customers and expanding the company,” says Dometic’s President and CEO Fredrik Möller.
In addition, the new prerequisites contribute to the plans for a future exchange listing becoming possible within a few years.
For further information, please contact:
Rutger Wachtmeister, Marketing Director, Dometic Holding AB
Mobile: +46 703 24 20 46
And to add insult to injury:
Dometic Group Signs Purchase Agreement with Atwood Mobile Products LLC
Stockholm, Sweden and Elkhart, Ind. USA– Sept 9, 2014 – Dometic Group, a global leader of leisure products for the recreational vehicle (RV), marine, truck and automotive-based industries, today announced that it has signed an exclusive purchase agreement with Elkhart, Ind.-based Atwood Mobile Products, LLC, a global provider in designing, engineering and manufacturing appliances and hardware for the RV, On-/Off-Highway and Marine industries for over 50 years. This acquisition will complement and further diversify Dometic’s existing product offerings and strengthen the company’s global footprint.
“The key rationale behind this important acquisition is that it will expand our product range offered to our North American and global customers,” said Roger Johansson, President and CEO of Dometic Group. “With Atwood as part of our Group, we will be able to offer high quality water heaters, ventilation technology, windows and doors, innovative furnaces, and more – products which have not been included in our present North American offering.”
Atwood’s primary markets are North America and Australia. The company has 775 employees and annual sales of approximately $200 million.
“Atwood has a strong set of offerings and a reputation for providing high quality products and accessories.” says Frank Marciano, President of Dometic Americas. “Combined, we will be able to offer our global customers a great complement to our current range, access to our global exceptional service teams and ultimately greater value.”
Tim Stephens, CEO and President of Atwood Mobile Products, added: “With Dometic, we have found a partner that gives us more growth opportunities in the markets we serve. Together, we will be able to offer a full range of complementary appliances and equipment that will enhance our customers’ comfort when away from home.”
Dometic Group’s global revenue, on a rolling 12 months, after the acquisition will amount to approximately $1,400 million and the number of employees will increase to 7,200. Terms of the potential acquisition were not disclosed. The acquisition is pending governmental regulatory review.
For information about Dometic Group, please visit http://www.dometicgroup.com
Read more about Atwood Mobile Products at http://www.atwoodmobile.com/
You could always contact this person:
Retail Customer Service Supervisor
Last updated on 2014-07-14
Or this guy:
Doug Whyte President, Dometic Corporation Americas firstname.lastname@example.org
based on the formatting of the email I would bet Elaine.Beckley@dometic.com
would get you to her just saying.