REV Group, Inc., the Milwaukee-based manufacturer of specialty vehicle brands, announced it has completed the acquisition of Spartan Emergency Response (Spartan ER), a manufacturer of custom emergency response vehicles, cabs and chassis for the emergency response market, and its brands, from Spartan Motors, Inc., effective February 1, 2020.
The deal was for approximately $55 million in cash, subject to a net working capital adjustment and certain liabilities of the business to be retained by Spartan Motors, Inc. post-closing. Spartan’s emergency response business has operations in Michigan, South Dakota, Pennsylvania, Nebraska and Wisconsin.
Spartan ER, as of September 30, 2019, had generated last 12 months net revenues of $253.3 million and the acquired Spartan ER backlog represents approximately 74 percent of anticipated calendar 2020 sales.
Spartan ER and its brands, Spartan Fire Apparatus and Chassis, Smeal Fire Apparatus, Ladder Tower, and UST, will become part of REV’s Fire & Emergency segment.
Tim Sullivan, president and CEO of REV Group said, “we are excited to acquire a top North American fire apparatus manufacturer of scale with a well-recognized, innovative and broad product offering, long-standing relationships with dealers and municipal customers, and a growing installed base of over 6000 vehicles. It’s our long-term strategy to continue to grow this segment, as well as continue to establish REV Group as a leader in the innovation of fire apparatus and other emergency response vehicles.”
REV grew out of Allied Specialty Vehicles which was formed in 2010 with the merger of Collins Industries, E-One, Halcore Group, and Fleetwood Enterprises. It grew rapidly via acquisitions through about 2015 when it changed its name to REV Group. In January 2017, the company went public.
REV Group, Inc. now operates through three segments: Fire & Emergency, Commercial, and Recreation. With vehicles for applications including essential needs (ambulances, fire apparatus, school buses and municipal transit buses), industrial and commercial (terminal trucks, cut-away buses and street sweepers) and consumer leisure (recreational vehicles and luxury buses.