Another acquisition puts Dometic in the hot seat in cooler market

Camping and RV accessory giant Dometic has made yet another significant acquisition by agreeing to purchase leading passive cooling boxes and drinkware brand Igloo. Texas-based Igloo was founded in 1947 and is seen as one of the most iconic manufacturers of cool boxes in the market – it sells its products into more than 90,000 retail stores globally, most of those in the United States. Because it manufactures products at its own facility in Texas it has very short lead times for the North American market.

Juan Vargues, president and CEO of Dometic, said: “I am excited to welcome Igloo and its employees to Dometic. This acquisition is in line with our strategy to position Dometic as a more consumer driven, less cyclical company in the fast-growing outdoor business. North America is the largest market for cooling boxes and outdoor products, and with Igloo’s strong brand recognition, consumer knowledge and local manufacturing capabilities, we are getting the necessary tools to further drive our sales and margin expansion.

“Igloo has shown strong sales growth, market share gains and margin improvements in recent years, driven by both commercial and operational initiatives. Further sales and cost synergy activities will be implemented to generate continued improvements.

“Our strategy for profitable expansion is built on a combination of organic and acquisitive growth. This is our eighth acquisition this year and our pipeline of potential future acquisitions remains strong.”

Dometic claims that the acquisition of Igloo – a deal agreed for a fee of US $677 million – is a major step in its strategy to grow in the outdoor industry. 

Image © Igloo.

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