Drew Industries Incorporated, a leading supplier of components for recreational vehicles (RV) and manufactured homes, has reported that its wholly-owned subsidiary, Lippert Components, acquired certain assets and business of M-Tec Corporation.

The acquired business has annual sales of approximately $12 million, primarily of components for RVs and mobile office units.

The primary manufacturing facilities of the acquired business are in northern Indiana. Lippert Components will lease these facilities for one year, during which time it will consolidate the new production into its existing facilities, substantially reducing the production costs of the acquired business.

"Acquisitions like this have been a big factor in enabling Drew to continually expand," said Fred Zinn, Drew's president and CEO. "Further, we have the capability to reduce the cost structure of the acquired operations.

As with the eight other acquisitions we have made during the past four years, we were able to complete this acquisition without incurring debt. With no debt, about $30 million in available cash, and an outstanding operating management team, we have the resources to continue to pursue expansion opportunities which we believe will yield favorable returns on our investments."

"This acquisition is attractive from several perspectives," said Jason Lippert, CEO of Lippert Components. "First, it allows us to expand our product line of components for motorhomes by adding the bridge beam used in certain motorhome chassis.

“Historically, we have focused primarily on components for towable RVs, and, while we plan to continue to grow in that market, we see significant opportunity in motorhome components. The newly-acquired bridge beam product line is a great addition to the motorhome chassis modification business we acquired in 2010.

“Further, the mobile office unit chassis produced by M-Tec is similar to the chassis for manufactured homes we currently produce, so we will be able to use our manufacturing expertise and purchasing power to reduce the production cost of these products."

Drew, through its wholly-owned subsidiaries, Kinro and Lippert Components, supplies a broad array of components for RVs and manufactured homes, including windows, doors, chassis, chassis parts, bath and shower units, axles, and upholstered furniture.

In addition, Drew manufactures slide-out mechanisms for RVs, and trailers primarily for hauling boats.

Currently, from 28 factories located throughout the United States, Drew serves most major national manufacturers of RVs and manufactured homes in an efficient and cost-effective manner.