Horsepower, an automotive aftermarket accessories platform of Huron Capital Partners, has acquired Rago Fabrication.
Rago designs, manufactures and distributes products – storage systems, bed racks, lighting mounts, gear mounts, and armor – for the off-road and overland automotive aftermarket, primarily focused on Toyota and Lexus vehicles. Kerrville, Texas-based Rago was founded in 2013 by U.S. Navy Veteran Mario Rago and his wife Melissa Rago.
“We have earned our brand loyalty over the years by consistently delivering high-quality, innovative products to our customers,” said Ms. Rago. “Combining Rago with the ADD and DV8 brands boosts our ability to expand our products beyond the Toyota platforms, by partnering with a team of enthusiasts whose job during the week is their passion on the weekend.”
Huron’s Horsepower platform is currently made up of automotive aftermarket brands Addictive Desert Designs (ADD) and DV8 Offroad. ADD’s and DV8’s products include aftermarket suspension kits, off-road bumpers, and other accessories for a range of truck models including those produced by Chevrolet, Ford, Jeep, Nissan, Ram, and Toyota. The two brands jointly operate out of ADD’s facility in Mesa, Arizona, and DV8’s facility in Riverside, California.
“The addition of Rago provides Horsepower with both complementary vehicle platform capabilities, given Rago’s Toyota and Lexus focus, and enhances our R&D activity through the addition of a team that can deliver unique products for the off-road and overlanding enthusiast,” said John Robinson, the CEO of Horsepower.
“We continue to see favorable dynamics in the off-road and overlanding markets that will support Horsepower’s growth over the next several years,” said Michael Zukas, a principal at Huron Capital. “We will continue to partner with strong companies such as Rago, to execute our focused buy-and-build strategy in this highly attractive sub-segment of the broader automotive aftermarket.”
Huron Capital is an operationally-focused private equity firm that makes control and non-control investments in companies with revenues of $20 million to $200 million and EBITDAs of $5 million or more. Sectors of interest include business services, consumer goods & services, and specialty industrials. Founded in 1999, Detroit-based Huron Capital has raised nearly $2 billion in capital through six private equity funds and invested in over 240 companies.
© 2022 Private Equity Professional | March 31, 2022
