THOR buys TIFFIN

Grumpy · 12-21-2020, 07:53 AM

From RV Business:

THOR Industries Inc. today (Dec. 21) announced the acquisition of Tiffin Motorhomes Inc. and related companies for $300 million, funded with a combination of available cash and a draw on the company’s existing asset-based credit facility. The purchase agreement was executed and effective at the close of business on Dec. 18, according to a company release. Tiffin Group LLC, a wholly owned subsidiary of THOR, will own the Tiffin Group, which will continue to be managed by the Tiffin family and existing senior management team.

Robert “Bob” Tiffin, chief executive officer of Tiffin Motorhomes, said as a "family-owned business since 1972, finding the right partner for the future of the Tiffin Group of companies was crucial.”

Trapper2020 · 12-21-2020, 07:57 AM

Another one bites the dust. When will all this consolidation end. Not many if any private ones left. Glad I am in my last rig.

Enjoy the journey

Lake Huron · 12-21-2020, 08:16 AM

No RV is perfect, but JAYCO built a WAY better RV compared to most of the other brands. I got my Northpoint just after Thor bought in, so they didnt have enough time to implement their crap. I have slowly seen the quality go downhill. Tiffin has always been a higher quality unit, and let's see how long it takes for Thor to run it down.
Last year we decided to keep our Northpoint instead of trading up to another Northpoint, or Pinnacle, and/or different for plan. That's why I dropped $3k into disc brake conversion. The new units just dont do anything for us and I've seen the quality slowly slipping away. Again, mine is not perfect either, but I think it's a bit better than the newer models.

DaveT · 12-21-2020, 09:51 AM

Is there a list somewhere (or can we maybe start one here) of non-Thor aligned manufacturers?

K9Nardu · 12-21-2020, 10:22 AM

This is so sad. Bob Tiffin is a great guy, and Tiffin manufactures a really nice product. I thought he would never sell out. Thor will undoubtedly destroy their reputation in a matter of years. Whether any of the Tiffin family are still at the helm or not, Thor will still call the shots and bottom line is their only concern. Red Bay Alabama will never be the same!

THE MEEKER · 12-21-2020, 11:49 AM

Robert “Bob” Tiffin, chief executive officer of Tiffin Motorhomes, said as a "family-owned business since 1972, finding the right partner for the future of the Tiffin Group of companies was crucial.”

The right partner = $$$$

1HasBeen · 12-21-2020, 04:27 PM

It's not just Thor, there's Forest River, Winnebago, and Rev Group that are the Big Four. That leaves Northwood/Arctic Fox, and New Horizons, or the Newell Coach and Liberty Coach buses. Not much else, certainly not much out there that is not a Lippert Catalog build.

Route 66 Traveler · 12-21-2020, 05:31 PM

We owned a Tiffin Allegro in 2001. Had some issues and Bob Tiffin called me direct on my cell phone twice to assure us the problems would be taken care of...and they were. Sorry to see they caved into the corporate giant. The employees probably aren't too happy about it either.

jfk69 · 12-21-2020, 11:09 PM

Well that’s a bummer. Thor is about the last partner I’d want.

brightsky · 12-21-2020, 11:45 PM

Everything is Thor in the future? If Thor does not make great products, how can it buy so many RV manufacturers?

LuckyDuck · 12-22-2020, 01:22 AM

Quote:

Originally Posted by brightsky

Everything is Thor in the future? If Thor does not make great products, how can it buy so many RV manufacturers?

$$$. The same way greedy hedge funds purchase once-great newspapers or family-owned TV stations and turn them into shoddy money machines. Squeeze every last penny out, quality be damned. Hmmm, sound familiar?

Grumpy · 12-22-2020, 07:03 AM

Quote:

Originally Posted by LuckyDuck

$$$. The same way greedy hedge funds purchase once-great newspapers or family-owned TV stations and turn them into shoddy money machines.

THOR is not a Hedge Fund it is a publicly traded stock that Hedge Funds buy shares of. Thor Industries, Inc. (NYSE:THO)

Their acquisitions are no different than KROGER buying up numerous other Grocery and Drug chains.

LuckyDuck · 12-22-2020, 11:10 AM

Quote:

Originally Posted by Grumpy

THOR is not a Hedge Fund it is a publicly traded stock that Hedge Funds buy shares of. Thor Industries, Inc. (NYSE:THO)

Their acquisitions are no different than KROGER buying up numerous other Grocery and Drug chains.

Didn’t mean to imply it was, just that the MO is the same. Big dog gobbles up the little guy for the right price and the quality is lost.

wiscampsin · 12-22-2020, 12:49 PM

Quote:

Originally Posted by Grumpy

THOR is not a Hedge Fund it is a publicly traded stock that Hedge Funds buy shares of. Thor Industries, Inc. (NYSE:THO)

Their acquisitions are no different than KROGER buying up numerous other Grocery and Drug chains.

Unfortunately the local Pick & Save chain grocery store I've shopped at for years was acquired by Kroger. It's gone down hill ever since.

NorCal Eagle · 12-22-2020, 02:44 PM

I wonder if Thor got Vanleigh as well?

Grumpy · 12-22-2020, 02:54 PM

Quote:

Originally Posted by NorCal Eagle

I wonder if Thor got Vanleigh as well?

Probably since it is a Division of TIFFIN, just like ENTEGRA, HIGHLAND RIDGE and STARCRAFT are to JAYCO.

Radar57 · 12-22-2020, 07:00 PM

Quote:

Originally Posted by THE MEEKER

Robert “Bob” Tiffin, chief executive officer of Tiffin Motorhomes, said as a "family-owned business since 1972, finding the right partner for the future of the Tiffin Group of companies was crucial.”

The right partner = $$$$

This likely hints to the reason behind the merger. It was not a leveraged buyout. From what i have read and heard Mr Tiffin approached Thor looking to make a deal. Tiffin was apparently making efforts to grow their product line but needed money to do so. Another thing to consider is buying power that comes with being part of a larger company. It was going to become harder and harder for Tiffin to remain price competitive in an ever increasing competitive market. Although they have a good product if the consumer can buy something similar at a lower price they would begin to loose market share.

Unless you currently own a Tiffin product or plan to buy one in the future I'm not sure why all this matters. No one knows the details of this deal. You may not agree but this could be a good thing for Tiffin. That's my view and your entitled to yours.

Grumpy · 12-22-2020, 07:20 PM

Quote:

Originally Posted by Radar57

This likely hints to the reason behind the merger. It was not a leveraged buyout. From what i have read and heard Mr Tiffin approached Thor looking to make a deal. Tiffin was apparently making efforts to grow their product line but needed money to do so. Another thing to consider is buying power that comes with being part of a larger company. It was going to become harder and harder for Tiffin to remain price competitive in an ever increasing competitive market. Although they have a good product if the consumer can buy something similar at a lower price they would begin to loose market share.

That's exactly what happened at JAYCO too.

Wilbur Bontrager, Chairman of the Board of Jayco commented, "Our family is very proud of the legacy we have established and nurtured over the past 48 years. As a family run and owned business, we view today's transaction as an opportunity to continue growing our business while joining an even larger family."

Derald Bontrager, President and CEO of Jayco stated, "The core values that are synonymous with Jayco and its brands shape the way we run our business, and these values will remain and guide us as we look to the future. One of the things we found most attractive about Thor was their decentralized business structure, which allows their subsidiaries to continue operating independently."

Radar57 · 12-22-2020, 07:51 PM

Quote:

Originally Posted by Grumpy

That's exactly what happened at JAYCO too.

Wilbur Bontrager, Chairman of the Board of Jayco commented, "Our family is very proud of the legacy we have established and nurtured over the past 48 years. As a family run and owned business, we view today's transaction as an opportunity to continue growing our business while joining an even larger family."

Derald Bontrager, President and CEO of Jayco stated, "The core values that are synonymous with Jayco and its brands shape the way we run our business, and these values will remain and guide us as we look to the future. One of the things we found most attractive about Thor was their decentralized business structure, which allows their subsidiaries to continue operating independently."

If Thor operates under a "decentralized business structure" which effectively means they allow the business to continue to operate as they were (in theory), how can you put all the blame for the quality slide on Thor. Doesn't the Bontrager family hold some of the responsibility since they are apparently "running the company". Remember they got their $567M in the buy out! Just a thought.

Grumpy · 12-22-2020, 08:41 PM

Quote:

Originally Posted by Radar57

If Thor operates under a "decentralized business structure" which effectively means they allow the business to continue to operate as they were (in theory), how can you put all the blame for the quality slide on Thor. Doesn't the Bontrager family hold some of the responsibility since they are apparently "running the company". Remember they got their $567M in the buy out! Just a thought.

I personally know more very satisfied owners than I do dissatisfied owners.

The problem is that right after the buyout is when the "BOOM" hit. So if you have 5% of your production with issues and the production skyrockets what was 5% of 30,000 or 1,500 is now 5% of 40,000 or 2,000 and they are the ones you hear from.

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