Thor Industries Inc. (NYSE: THO), a recreational vehicle manufacturer, has acquired Postle Operating LLC for roughly $144 million. The deal comes as more vehicles are being made with aluminum over steel.
Elkhart, Indiana-based Postle, which does business as Postle Aluminum Co., will operate as a subsidiary of Thor Industries, which is also based in Elkhart. Postle plans to continue to offering services in manufacturing, including aluminum extrusions, powder coating and painting services, as well as specialized component fabrication.
Postle generated sales of about $220 million in calendar year 2014 from four divisions located in northern Indiana and southwestern lower Michigan.
According to Postle CEO Kevin Robinson, Thor's backing will help Postle reach long-term growth objectives. The transaction comes as more opportunistic buyers snatch up targets in the space as the price of aluminum — used to make a range of products from soda cans to cars — drops while sales increase.
Aluminum has dropped over the last six months and more companies opt to use it over steel in their products. For more see, Highlander Partners Buys Aluminum Facility.