LCI Industries has rejected Monomoy Capital Partners’ revised acquisition proposal, with its board unanimously backing the pending merger with Patrick Industries ahead of a shareholder vote on 18 November 2026.
The unsolicited, non-binding proposal arrived on 6 November. After reviewing it with financial and legal advisers, LCI’s board concluded that it neither constituted a superior proposal nor was reasonably likely to lead to one.
“Monomoy’s revised proposal is a modest increase to its initial offer and remains nowhere near LCI’s standalone value or the value creation opportunity of our combination with Patrick,” explained Ginnie Henkels, chair of LCI’s board.
LCI said its updated long-range plan, incorporating recreational vehicle industry headwinds, supported a standalone discounted cash flow valuation of $142 to $165 per share, with a midpoint exceeding $150.
Trading prices
The board argued that the offer provided little premium to relevant trading prices, noting that LCI shares traded above $104.50 intraday on 5 November.
It also challenged Monomoy’s use of historical shipment assumptions, margins and valuation multiples, and said its own plan excluded acquisition-driven growth.
Henkels said the Patrick merger, announced in June, ‘provides the best opportunity to maximise LCI shareholder value’.
LCI says it expects the combination to generate approximately $150 million in net annual run-rate cost synergies within three years of closing. Proxy advisers have also recommended shareholders vote for the Patrick transaction.
LCI and Patrick have reiterated their commitment to completing the merger in the first half of 2027, subject to approval by both companies’ shareholders, regulatory clearance and other customary conditions.
