Bass Pro adds Ranger to boat holdings

John Morris appears to have caught a keeper.

The owner of Bass Pro Group LLC, which operates Bass Pro Shops and boat manufacturer Tracker Marine, has agreed to buy Flippin, Ark.-based Fishing Holdings LLC, makers of Ranger Boats.

In announcing the deal Dec. 11, the privately held companies did not disclose terms. The agreement is pending approval by the Federal Trade Commission, sources said.

Thomas Dammrich, president of the National Marine Manufacturers Association, said the move makes waves in the crowded industry.

“This is (Bass Pro’s) first foray into fiberglass fishing boats other than the Mako brand, which is saltwater,” Dammrich said.

With Tracker primarily building aluminum boats, Dammrich considers the Ranger line of mostly fiberglass boats a logical addition.

“It’s a big move. I think it’s a good fit,” he said.

“Tracker is probably the second or third largest boat builder in the country in terms of units.”

Of the 900 boat manufacturers in the United States, Dammrich said about 200 companies, including Tracker and Ranger, represent 90 percent of all boat sales.

While Dammrich couldn’t estimate sales for either company, he estimated Ranger is the top selling bass-boat brand.

The move comes at a time of industry growth.

Americans are taking to the water in record numbers, according to the NMMA.

Over 36 percent of the adult population – 88.5 million Americans – participated in recreational boating last year, representing the second highest percentage on record. Recreational boating retail expenditures this year are projected to approach $37 billion – a 3.5 percent increase compared to 2013, which was up 10.3 percent from the year prior.

Fiberglass and aluminum outboard sales are projected to rise between 7 percent 10 percent this year.

Fishing Holdings President Randy Hopper said the company would continue to operate independently and had no plans to sell its boats in Bass Pro Shops’ nearly 70 stores and 20 boat showrooms.

“We have an independent dealer organization that is first class.” Hopper said.

“Tracker and Nitro have their own, but we will continue to work real hard to develop our independent dealer network, which most of our products sell through.”

From the 930-employee manufacturing plant in Flippin, about 100 miles southeast of Springfield, the company distributes boats to some 300 dealerships, including Branson West Marine and Angler’s Port Marine in Warsaw, according to RangerBoats.com.

“There are certainly some things we could do together,” Hopper added. “Two great teams pulling together can out-pull one.”

Across its three brands – Ranger, Stratos and Triton – Hopper said Fishing Holdings builds about 7,000 boats a year – roughly 4,500 fiberglass and 2,500 aluminum boats – with the majority sold by Ranger.

He declined to disclose revenue but expects 2014 boat sales to increase over 10 percent and double-digit growth in 2015, as well.

Hopper said parent company Platinum Equity LLC positioned the company for sale several months ago – a move expected five years after it bought the company in a somewhat dire time for the industry. He said the company had taken a big hit during the onset of the recession, but it has since recovered, selling more in the past year than in any year since the Ranger brand launched in 1968.

“Consumer confidence is back. The outlook is for three to five years of growth,” association president Dammrich said, adding the next downturn isn’t expected to be as severe.

Although competitors, Hopper said a mutual respect existed between the Tracker and Ranger brands. For one, Fishing Holdings founder Forrest Wood and Morris knew each other from the early days of their businesses. The two outdoorsmen turned businessmen began fishing on the White River and various area lakes, as well as in the first tournaments of the national Bass Anglers Sportsman Society.

With the acquisition, Bass Pro now employs nearly 22,000.

While Bass Pro spokeswoman Tammy Sapp declined an interview, Hopper said the deal was likely attractive to Morris and Bass Pro Group because people have more money to spend on boats and boating accessories these days.

“We feel like there is a lot of opportunity in the future,” Hopper said.

 “Not just because of this alliance, but we are getting a bit of a tailwind with the economy picking up and fuel prices dropping.”[[In-content Ad]]