Northern Wholesale Supply (NWS), a distributor of outdoor and powersports equipment and supplies, has been acquired by Sun Capital Partners.
NWS’ products catalog has more than 30,000 parts and accessories for recreational vehicles; powersports vehicles, including snowmobiles and jet skis; boat-related parts, accessories, and supplies; and manufactured and mobile home components.
NWS also goes to market under company-owned brands Extreme Max, Boat Lift Boss, and Ultra Legs. Extreme Max offers tools and accessories like heavy-duty trailer wheel chocks, dock bumpers, and snowmobile storage equipment. Boat Lift Boss focuses on automated boat lift motor systems, including direct drive lift motors and solar-powered lift systems designed to simplify boat handling. Ultra Legs provides hydraulic leveling systems for pontoon boats, with features like self-adjusting lift legs that improve stability during docking and storage. NWS customers include individual enthusiasts, professional repair facilities, and equipment dealers.
NWS, led by CEO Chad Smith with over 200 employees, was founded in 1984 and is headquartered 20 miles northeast of Minneapolis in Lino Lakes, Minnesota.
“This partnership marks an exciting chapter for the Northern Wholesale Supply business,” said Mr. Smith. “With Sun Capital’s resources, we’re not just continuing the legacy of the NWS business—we’re elevating it. Together, the team will drive the innovation and service that NWS’ customers and partners have come to expect.”
“Northern Wholesale Supply’s leadership in the RV, marine and powersport sectors is a testament to their dedication and innovation,” said Matthew Garff, a managing director and partner at Sun Capital. “We are thrilled to partner with the new business to unlock new opportunities and expand their impact.”
According to Sun Capital, immediate areas for value creation include operational improvements, expansion of proprietary product lines, and exploration of new markets across North America.
The RV, marine, and powersports aftermarket industry has experienced growth in recent years, driven by increased consumer interest in outdoor recreational activities. Market reports indicate that the U.S. RV market is projected to grow at a compound annual rate of 6% through 2027, reflecting lifestyle changes and rising disposable incomes.
Sun Capital invests from $50 million to $300 million in leveraged buyouts, equity, and debt in companies with more than $32 million in EBITDA that can benefit from its in-house operating professionals and experience. Sectors of interest include business services, consumer, healthcare, industrial, and technology. Sun Capital’s most recent fund, Sun Capital Partners VIII LP, closed in September 2022 with $2.5 billion in commitments. The firm was founded in 1995 and has offices in Boca Raton, Los Angeles and New York, and London.
© 2024 Private Equity Professional | December 18, 2024
