Patrick Industries, Lippert to Combine in All

Key Points:

• Patrick Industries and LCI Industries have agreed to an all-stock merger to create a leading component solutions provider for outdoor enthusiast, housing, and transportation markets, with Patrick shareholders owning 52% and LCI shareholders 48% of the combined company.
• The merger aims to leverage complementary product portfolios, enhance R&D capabilities, and improve operational efficiencies to deliver innovative, cost-effective solutions and accelerate shareholder value with over $150 million in estimated annual synergies.
• The combined company is projected to generate approximately $8.1 billion in revenue, $1 billion in adjusted EBITDA, and $508 million in free cash flow on a pro forma basis by March 2026, supported by a strong balance sheet and disciplined capital allocation.
• Leadership will include Patrick CEO Andy Nemeth as CEO of the combined entity, with a 12-member board split evenly between the two companies and headquarters established in Elkhart, Indiana.
• The transaction is expected to close in the first half of 2027, pending shareholder and regulatory approvals, with advisors including J.P. Morgan, Baird, Perella Weinberg Partners, and legal counsel from McDermott Will & Schulte LLP and Kirkland & Ellis LLP.