Grand Banks Yachts has agreed to acquire properties in Newport, Rhode Island, from Casey’s Marina for US$21 million.
The properties include a full-service marina capable of berthing up to 20 boats in the water and more on the land, a covered workshop, boat storage space, guest accommodation, supporting amenities and parking areas.
The proposed acquisition will provide strategic expansion in its main geographical market in the US and enhance long-term sales of Grand Banks and Palm Beach Motor Yachts.
The acquisition is intended to provide Grand Banks and Palm Beach Motor Yachts with the opportunity to strengthen its sales and enhance customer experience.
The announcement follows on from the Group unveiling its expanded composite manufacturing facility.
Grand Banks’ US subsidiary, Stuart Yacht Corporation, has paid a total deposit of US$1 million after entering into the agreement with Elizabeth Casey, William Casey, Spring Wharf Marine Holdings and Casey’s Marina.
The Group will be able to build a stronger presence and attract new customers.
Mark Richards
The proposed acquisition remains subject to due diligence and the Group will convene an extraordinary general meeting to obtain shareholders’ approval.
On completion, the Group will pay a further US$5 million with the remaining US$15 million paid in installments.
“I am very excited with this opportunity for the Group,” said Mark Richards, Group CEO.
“This acquisition will have immense strategic value to enhance our future sales and customer experience.
“The Group will be able to build a stronger presence and attract new customers within the prestigious North East region of the USA.”
Non-executive chairman, Basil Chan, added: “Under Mark’s leadership, we have enhanced the Group’s value proposition in boat design and quality, customer service, efficiency, financial performance and brand value.
“This proposed acquisition will be a strategic asset to enhance our continued efforts to increase shareholder value.”
Grand Banks Yachts manufactures yachts between 42ft and 107ft under the Grand Banks, Eastbay and Palm Beach brands out of its Malaysian manufacturing yard.
New boat sales, brokerage and support services are based at Stuart, Florida and San Diego, California, as well as New South Wales and Queensland, Australia.
