Lippert Components Inc. plans to buy Star Design LLC, a maker of thermoformed sheet plastic products for the recreational vehicle, bus and specialty vehicle industries, Lippert's parent company, Drew Industries Inc., announced Friday, Feb. 28.
Lippert would pay about $12 million for the company, which has annual sales of about $10 million. Lippert will use cash and available borrowing under its $75 million line of credit.
Last year Lippert moved its RV thermoforming plastic production from Texas to an Elkhart facility large enough to accommodate expected growth. The company believes the additional product lines and diversified customer base Star Design has developed will accelerate its expansion into non-RV, or "specialty," markets.
Star Design chairman Kelly Rose, who will not remain with the business, believes he is leaving the business and operations team in good hands, he said in a statement issued by Lippert. Kevin Gipson, president of Star Design, will continue with the company.
Drew Industries stock price closed Friday at $49.24, down 21 cents on the day.