Quote Originally Posted by MJHSupra View Post
I'm not following you on the Debt comment
Quote Originally Posted by MJHSupra View Post
Meanwhile, they pay equity and ownership fees up the chain of command.
sounds like you are following the debt comment. CC will now expect some ROI over the next "x" years on that coming from reduced expenses or increased profits. not in the next 12 months but it'll come. I've been through this before with my current and last company with both PE ownership and larger company buyout.

it will be interesting to see what happens. CC bought several engine companies back in the day. now pcm and crusader are basically one company and built in the same plant along with a couple other variants for specialty boats. took a few years for that to happen but that's usually part of why companies of a similar industry buy each other. synergies in the non-production areas and consolidation of space are where the expenses are typically gained.

I wonder if the long term play here is assembling a boat "company" to rival or surpass 'bu and launch them public. that's where the true value is to most PE's.

and to russel's comment, skiers still builds a GREAT boat no matter who's powering it and frankly in today's world, there's nothing wrong with pcm, indmar and mercruiser. all build good motors if you can take the ford/chevy brand goggles off.