ELKHART — Skyline Corp. and Champion Enterprises Holdings LLC, the parent company of Champion Home Builders Inc., announced they will combine their operations.
According to the companies, the new company will be the nation’s largest publicly traded factory-built housing company that will include 36 manufacturing facilities.
According to the companies, Champion will contribute 100 percent of the shares of its operating subsidiaries, Champion Home Builders and CHB International B.V., to Skyline. In exchange, Skyline is expected to issue approximately 47.8 million shares to Champion, representing 84.5 percent of the common stock of the combined company on a fully-diluted basis. Prior to closing, Skyline expects to declare a dividend to its existing shareholders of its excess net cash available for distribution under the agreement after certain transactional expenses.
The combined company will be known as Skyline Champion Corp. and trade on the NYSE American under the ticker symbol “SKY,” according to the company.
Champion Chief Executive Officer Keith Anderson, will serve as chief executive officer of Skyline Champion Corp. Additionally, Laurie Hough, Champion chief financial officer, will serve as CFO of the combined company. Skyline anticipates nominating John Firth, current chairman of Skyline, and Rich Florea, current CEO of Skyline, as directors of the combined company and Art Decio, an original founder of Skyline and member of the board since 1959, as a senior adviser to the combined company’s board of directors, according to the company. Skyline Champion’s principal offices will remain in Elkhart, with additional executive offices in Troy, Mich.
Skyline Champion will offer manufactured, modular and park model homes as well as commercial structures. Additionally, the combined company will have 21 owned factory-direct retail locations and provide transportation services to the manufactured housing industry from 10 locations across the United States.
The merger is expected to be completed in the first half of this yea