Lippert Components Submits Offer to Purchase Lewmar Marine Limited after Receiving Pledges from 80.7% of Lewmar Shareholders

ELKHART, Ind.–(BUSINESS WIRE)–LCI Industries (NYSE: LCII) announced that its wholly-owned subsidiary
Lippert Components, Inc. (“LCI”), a supplier of a broad array of highly
engineered components for the leading original equipment manufacturers
(“OEMs”) of leisure vehicles and mobile transportation, and the related
aftermarkets of those industries, has reached an agreement with the
board of directors of Lewmar Marine Limited (“Lewmar”), a supplier of
leisure marine equipment, headquartered in Havant, United Kingdom, on
the terms of a recommended cash offer for Lewmar by LCI, pursuant to
which LCI would acquire the entire share capital of Lewmar. LCI’s offer
will be presented to Lewmar’s shareholders and, as required by Scottish
law, the Scottish Court for approval. Sales of the soon-to-be-acquired
business for the twelve months ending December 2018 were approximately
£55 million. LCI’s initial cash offer is approximately £33.286 million,
or approximately 143.65 pence per share, and allows for additional
consideration up to £2.5 million, or approximately 10.79 pence per
share. At the time of announcement, LCI has received pledges from Lewmar
shareholders representing approximately 80.7% of existing shares to vote
in favor of the acquisition. LCI plans to close on the transaction upon
approval by the shareholders and Scottish Court.

Founded in 1946, Lewmar has grown to be one of the world’s premier
suppliers of leisure marine equipment for yachts, sailboats, and
powerboats. Lewmar designs, manufactures, and distributes a wide range
of components including anchoring systems, hatch and portlight
solutions, powered and manual glazing systems, sail control winches and
hardware, decking products, and steering systems. Besides their
headquarters in the UK, Lewmar also operates a sales and distribution
facility in Guilford, Connecticut. The boards of LCI and Lewmar believe
that the acquisition would bolster both company’s respective end
markets, product offerings, manufacturing capabilities, as well as
geographic reach, helping to serve customers better.

Peter Tierney, Managing Director of Lewmar, commented, “This is an
exciting opportunity for Lewmar and represents the best strategic option
for Lewmar and its employees. The acquisition fairly reflects Lewmar’s
current market position and prospects, and as such, Lewmar Shareholders
should be given the opportunity to realize value from this acquisition.”

Lewmar is a highly respected brand within the global leisure marine
industry with a strong and well-regarded leadership team,” said Jason
Falk, VP of Mergers and Acquisitions for LCI. Falk continued, “I have
enjoyed getting to know the Lewmar team through the acquisition process
and believe that they align with LCI’s core values, which is something
that we strongly consider when making any acquisition. We believe that
the integration of Lewmar will be well organized and will achieve great
synergies. Following completion of the acquisition, Peter Tierney will
have managerial responsibility for both the Lewmar and Trend UK
businesses.”

The marine industry has been a continued target of growth for LCI, and
with the acquisition of Lewmar, we are expanding this strategy to a
global level,” said Jason Lippert, CEO & President of LCI. Continued
Lippert, “This is our sixth acquisition within the global leisure marine
market, as well as our sixth acquisition in Europe. All of this points
to our strategy to be a significant player in the global marine, rail,
and caravan markets domestically and in Europe. LCI’s capabilities and
experience play well into Lewmar’s market. I have the utmost trust in
Peter to grow and lead this business in Europe. I am really excited to
see the positive effect that our combined leadership team will have on
our global marine efforts.”

About LCI Industries

From over 65 manufacturing and distribution facilities located
throughout the United States and in Canada, Ireland, Italy, and the
United Kingdom, LCI Industries, through its wholly-owned subsidiary,
LCI, supplies, domestically and internationally, a broad array of
engineered components for the leading OEMs in the recreation and
industrial product markets, consisting of recreational vehicles and
adjacent industries, including buses; trailers used to haul boats,
livestock, equipment, and other cargo; trucks; boats; trains;
manufactured homes; and modular housing. The Company also supplies
components to the related aftermarkets of these industries primarily by
selling to retail dealers, wholesale distributors, and service centers.
LCI’s products include steel chassis and related components; axles and
suspension solutions; slide-out mechanisms and solutions; thermoformed
bath, kitchen, and other products; vinyl, aluminum, and frameless
windows; manual, electric, and hydraulic stabilizer and leveling
systems; entry, luggage, patio, and ramp doors; furniture and
mattresses; electric and manual entry steps; awnings and awning
accessories; electronic components; appliances; televisions, sound
systems, navigation systems, and backup cameras; and other accessories.
Additional information about LCI and its products can be found at www.lci1.com.

Forward-Looking Statements

This press release contains certain “forward-looking statements” with
respect to our financial condition, results of operations, business
strategies, operating efficiencies or synergies, competitive position,
growth opportunities, acquisitions, plans and objectives of management,
markets for the Company’s common stock, and other matters. Statements in
this press release that are not historical facts are “forward-looking
statements” for the purpose of the safe harbor provided by Section 21E
of the Securities Exchange Act of 1934, as amended, and Section 27A of
the Securities Act of 1933, as amended, and involve a number of risks
and uncertainties.

Forward-looking statements, including, without limitation, those
relating to our future business prospects, net sales, expenses and
income (loss), cash flow, and financial condition, whenever they occur
in this press release are necessarily estimates reflecting the best
judgment of the Company’s senior management at the time such statements
were made. There are a number of factors, many of which are beyond the
Company’s control, which could cause actual results and events to differ
materially from those described in the forward-looking statements. These
factors include, in addition to other matters described in this press
release, pricing pressures due to domestic and foreign competition,
costs and availability of raw materials (particularly steel and
aluminum) and other components, seasonality and cyclicality in the
industries to which we sell our products, availability of credit for
financing the retail and wholesale purchase of products for which we
sell our components, inventory levels of retail dealers and
manufacturers, availability of transportation for products for which we
sell our components, the financial condition of our customers, the
financial condition of retail dealers of products for which we sell our
components, retention and concentration of significant customers, the
costs, pace of and successful integration of acquisitions and other
growth initiatives, availability and costs of production facilities and
labor, employee benefits, employee retention, realization and impact of
expansion plans, efficiency improvements and cost reductions, the
disruption of business resulting from natural disasters or other
unforeseen events, the successful entry into new markets, the costs of
compliance with environmental laws, laws of foreign jurisdictions in
which we operate, and increased governmental regulation and oversight,
information technology performance and security, the ability to protect
intellectual property, warranty and product liability claims or product
recalls, interest rates, oil and gasoline prices, the impact of
international, national and regional economic conditions and consumer
confidence on the retail sale of products for which we sell our
components, and other risks and uncertainties discussed more fully under
the caption “Risk Factors” in the Company’s Annual Report on Form 10-K
for the year ended December 31, 2018, and in the Company’s subsequent
filings with the Securities and Exchange Commission. The Company
disclaims any obligation or undertaking to update forward-looking
statements to reflect circumstances or events that occur after the date
the forward-looking statements are made, except as required by law.

Contacts

Contact: Brian M. Hall, CFO
Phone: (574) 535-1125
E
Mail:
LCII@lci1.com

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