Holley Acquires Four Enthusiast Brands For ~$56M - Holley (NYSE:HLLY)

Holley Inc HLLY has acquired the assets of enthusiast brands Arizona Desert Shocks (ADS), Baer Brakes, Brothers Trucks, and Rocket Racing Wheels, during the fourth quarter of 2021, for approximately $56 million.
Holley noted the acquisition of ADS augments its existing capabilities in on-road performance suspension systems by adding off-road expertise.
"These acquisitions are in highly strategic product categories that are powertrain agnostic with applicability to the emerging opportunity in electric vehicles and electric powertrain conversions," said CEO Tom Tomlinson.
For 2022, Holley expects these acquisitions to contribute net sales of approximately $30 million.
Holley financed the transactions through a combination of cash on hand and its new credit facility. It held $53.9 million in cash and equivalents as of September 30, 2021.
Price Action: HLLY shares are trading lower by 1.16% at $11.92 on the last check Monday.