Winnebago Ramps Up Its Engineering Capabilities Via Acquisition Of Lithionics Battery - Winnebago Industries (NYSE:WGO)

Outdoor lifestyle product manufacturer Winnebago Industries Inc WGO has agreed to acquire Lithionics Battery, a lithium-ion battery solutions provider to recreational equipment and specialty vehicle markets. Terms of the deal were not disclosed.
Lithionics is led by Founder and CEO Steve Tartaglia and is headquartered in Clearwater, Florida. Founded in 2010, Lithionics provides advanced battery solutions that deliver "house power," supporting internal electrical features and appliances for various outdoor products, including RVs, boats, specialty and other low-speed vehicles, and other industrial applications.
The addition of Lithionics will provide Winnebago with enhanced technological and engineering capabilities to offer consumers more differentiated products.
Lithionics will operate as a wholly-owned subsidiary of Winnebago Industries.
Lithionics currently serves a critical role in the supply chains of Winnebago's RV brands, providing trusted battery solutions to Winnebago and Newmar.
The transaction is expected to close within the third-quarter and the current Lithionics management team will continue to lead the business.
"We see significant opportunity to expand the use of their efficient energy solutions within our own portfolio, to continue to grow relationships with other existing customers and to explore new market applications. Through these applications, we expect Lithionics will enhance Winnebago Industries' margin profile over the near- and long-term and create value for our shareholders, employees and consumers," said Winnebago Industries President and CEO Michael Happe.
Winnebago held $229.3 million in cash and equivalents as of Feb. 25, 2023.
Price Action: WGO shares closed lower by 2.11% at $54.82 on Friday.

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