KPS spinout to acquire motor home company

New York-based private equity firm Monomoy Capital Partners has brought on two RV industry veterans to help in the acquisition.

Monomoy Capital Partners, a private equity firm based in New York, has made its first foray into the motor home industry by agreeing to buy Western Recreational Vehicles, a Yakima, Washington-based manufacturer of high end recreation vehicles, for an undisclosed amount, Monomoy said in a statement.

The deal is expected to close in December.

An additional investor in the transaction is Bob Lee, who has worked in the motor home industry for 40 years and who founded the manufacturer Country Coach 33 years ago. Lee will also become the chairman of Western RV’s board of directors. Richard Fish, an operating partner at Monomoy who has had 20 years of experience working in the motor home industry, will become the chief restructuring officer.

Following completion of the transaction, Western RV’s management team, led by its president, Ron Doyle, will remain in place, the statement said. The 36-year-old Western RV will also maintain its manufacturing facility in Yakima, Washington, the statement said.

In addition to RVs, Western RV produces fifth wheel and truck campers. “Western RV builds the automotive chassis for its products, making it one of the few vertically integrated manufacturers in the industry,” the statement said.

Stephen Presser, Daniel Collin, Justin Hillenbrand and Philip Von Burg left New York-based KPS Special Solutions Fund to form Monomoy Capital Partners in March of 2005. Monomoy invests in middle market companies in need of financial or operational restructuring, the statement said. It targets businesses with less than $200 million in revenues.

Monomoy made a $25 million investment in Awrey Bakeries, a Livonia, Michican-based bakery that sells pastries, breads, cakes and other baked goods to food service distributors, retail outlets and the US military, in September of 2005.