For Immediate Release- Corporate Announcement
Tuesday, June 13, 2017
Demco acquires SMI Manufacturing product line
Boyden, IA (June 12, 2017) – Demco, manufacturers of RV aftermarket products (KarKaddy, 5th wheel hitches and tow bar systems), today announced they are acquiring the complete product line of SMI Mfg, a leading supplemental brake system supplier.
The purchase of SMI, based in Newburgh, IN, further increases and broadens Demco’s position in the RV aftermarket products arena. “The combination of the SMI brand with our Demco branded towing products, will provide our customers with a more significant single source option,” says Bob Koerselman, president of Demco. “This acquisition will bolster our position in the market, increase our market share in this space as well as build on multiple synergies for Demco,” added Bob.
“The sale of SMI product line began as a simple conversation over the course of the past year to what it is today,” says Peter Schuck, president of SMI. “We have always felt that if or when we were ever ready to discuss with a potential buyer, we wanted to see similar values, all the way from their view on customers, their staff as family as well as a sincere faith component,” Peter continued.
With a projected closing date of June 30, 2017, Demco and SMI have agreed to maintain production and current SMI staff in Newburgh, until facilities in Boyden, IA take all business operations over by December 1, 2017. This will insure minimal disruptions for all customers and suppliers during this time.
Incorporated in 1964, Demco, is a diversified manufacturer of agriculture, RV aftermarket and trailer products. The companies’ mission is “Doing our best to provide you the best”. Demco currently serves a wide range of customers in the North America market employing over 250 team members located in (corporate headquarters) Boyden, IA and Spencer, IA. For more information about Demco, visit www.demco-products.com.
About SMI Mfg. SMI began making towed vehicle brake systems in 1997 with the introduction of the first brake systems to energize the towed vehicles power brake system with the Plug N Play. Since that introduction the products and evolved and improved into the Stay In Play DUO and Air Force One for the installed products and Delta Force for the portable market. SMI products have enjoyed Motorhome Magazine’s reader choice Gold award for the 4 of the last 5 years with 1 year receiving the Bronze award. The Company believes that to best serve the RV Market over the coming years merging the SMI lines with the Demco lines will provide the solid foundation for the SMI lines to continue to improve and grow. For more information about SMI, visit www.smibrake.com
For more information please contact:
Kevin Ten Haken/Exec VP
4010 320th St
Boyden, IA 51234