Northrop & Johnson announces its acquisition by MarineMax, Inc. (NYSE: HZO), the nation’s largest recreational boat and yacht retailer. Northrop & Johnson anticipates continued growth through the remainder of 2020 and beyond with the support of the MarineMax family.
This transaction will be highly complementary to MarineMax’s 2019 acquisition of Fraser Yachts, one of the largest global superyacht brokerage and luxury yacht services companies. With the acquisition of Northrop & Johnson, MarineMax becomes the dominant leader in the superyacht services business. Northrop & Johnson will now be a part of MarineMax’s global team that comprises the industry’s top yacht and charter brokers, as well as leading yacht and crew management professionals who are extremely knowledgeable and deeply committed to serving their clients. The entire MarineMax organization now has access to an even greater network of resources to support the potential for additional growth of its client base.
The acquisition will allow Northrop & Johnson to enhance the overall customer experience through the ongoing development of the marketing capabilities that leverage the latest technology. This should further enhance client retention and further, stimulate the lead generation and client referrals. Both Northrop & Johnson’s and Fraser Yachts’ insights and relationships with buyers, sellers and charterers are underlined by the world’s most comprehensive network of highly qualified individuals. Kevin Merrigan, Chief Executive Officer and Chairman, and the entire Northrop & Johnson team will continue to operate and manage its activities.
Brett McGill, Chief Executive Officer and President of MarineMax stated, “The merger with Northrop & Johnson marks another significant step in the diversification of MarineMax into a higher margin and digitally enhanced business. On a global scale, the unified team of Fraser Yachts and Northrop & Johnson creates an unprecedented superyacht powerhouse. From entry-level boaters to the largest luxury yacht, we want our clients’ experiences to be the best in the world. The acquisition of Northrop & Johnson furthers the MarineMax commitment to fulfilling our mission of exceptional customer service, regardless of whether a client is buying, selling, insuring, building, crewing, or chartering. The combination allows us to provide an even greater network to serve our customers’ shared passion for yachting. We are very excited that Kevin Merrigan has joined our team. Kevin has many years of invaluable experience and has built a team that is passionate about the industry.”
Kevin Merrigan stated, “MarineMax stands out as best in class for boats and yachts under 120 feet. With the combination of the teams and resources of both Fraser Yachts and Northrop & Johnson, MarineMax can provide end-to-end global boating solutions as we grow the superyacht services business. We are delighted to join MarineMax given that we both have always maintained a family-like culture and share similar ideals and values. MarineMax is the best partner to support the continued success of Northrop & Johnson and our very strong and tenured team.”
The Company provided an update for its June quarter, which ended June 30, 2020, that revenue will exceed the same quarter in the prior year as retail trends continue to be driven by very strong demand for the boating lifestyle. The Company’s liquidity, consisting of cash on hand and availability under its credit facility, now exceeds $180 million before considering its sizable unleveraged real estate portfolio.
For more information on the acquisition, please contact [email protected].