View Full Version : Capital to Support Heartland’s Continued Growth and Innovation

02-13-2007, 06:44 PM

Capital to Support Heartland’s Continued Growth and Innovation

Elkhart, IN – February 13, 2007 – Heartland Recreational Vehicles, LLC (“Heartland”), the fastest growing manufacturer of towable RVs in America, today announced that it has received an equity investment from Catterton Partners, one of the nation’s leading consumer-focused private equity firms. This capital investment will support Heartland’s continued growth and record of product innovation. Heartland’s founders will maintain a substantial ownership position in the Company and will continue to lead Heartland’s design, manufacturing, marketing, sales, and customer service initiatives. Additional terms of the investment were not disclosed.

Since introducing its luxury flagship coach, the Landmark, in 2003, Heartland has significantly increased its market share of the $14 billion RV industry and has become one of the top fifth-wheel manufacturers in the United States. Today, the Company offers four fifth-wheel model lines and two lines of toy haulers. Its recently introduced fifth-wheel, Big Country, has received wide-spread acclaim for the model’s value pricing and differentiating product features, which include over 145 cubic feet of exterior storage space and a patent-pending 88-degree turning radius, a capability that is unmatched by any competitor. Heartland expects unit production for its fifth-wheel and toy haulers to exceed 7,000 in 2007.

“With the investment from Catterton, we at Heartland expect to get even better, not just bigger, while remaining true to our vision of building quality towables that meet the needs of today’s RV consumers,” said Brian Brady, Chairman of Heartland. “We have seen unprecedented demand for Heartland’s products from dealers and RV enthusiasts alike. With the financial resources and strategic insight provided by Catterton, we will be better able to thoughtfully meet this growing demand and propel Heartland to new heights – in design, innovation, product offerings, and customer service.”

“Heartland is a leader in towables, the most attractive segment of the RV industry,” said Scott Dahnke, Managing Partner of Catterton. “The Company’s growth has been driven by a loyal group of satisfied consumers and dealers. Like Heartland’s customers, we at Catterton were drawn to the differentiated benefits of the Company’s products. These unique attributes, together with the founders’ penchant for innovation and the quality of the management team overall, provide a foundation for continued success. Indeed, these are elements that we seek in all of the investments we make. We look forward to working with Heartland’s industry-veteran leadership team to raise the bar, yet again, in RV standards.”

Mr. Brady continued, “We remain focused on being the best we can be. This means growing smart and building on our first-rate management team who is dedicated to the continued success of Heartland’s dealers. Our partnership with Catterton, who has a deep understanding of the consumer industry and a strong record in partnering with founders to build successful growth enterprises, reinforces Heartland’s staying power and our commitment to being the undisputed fifth-wheel leader.”

About Heartland Recreational Vehicles, LLC
Heartland is a leading manufacturer of luxury fifth-wheel recreational vehicles designed for extended-stay living and toy haulers. Its innovative, patent-pending front cab design, which provides a 30% increased turning radius that is perfect for short-bed trucks and eliminates the “crunch zone,” is featured across Heartland’s fifth-wheel model line-up, including Big Country, Bighorn, Cyclone, Razor, Sundance, Trail Runner and the flagship Landmark. Heartland’s towable RVs are sold through an independent network of dealers throughout the United States and Canada. The Company has approximately 400 employees. For more information about Heartland, visit www.heartlandrvs.com.

About Catterton Partners
With more than $2 billion under management, Catterton Partners is a leading private equity firm in the U.S. focused exclusively on the consumer industry. Since its founding in 1990, Catterton has leveraged its investment capital, strategic and operating skills, and network of industry contacts to establish one of the strongest investment track records in the consumer industry. Catterton invests in all major consumer segments, including Food and Beverage, Retail and Restaurants, Consumer Products and Services, and Media and Marketing Services. Catterton has led investments in companies such as Breyers® Yogurt Company, Wellness Pet Food, Liberty Safe, Build-A-Bear Workshop, Cheddar’s Restaurant Holdings Inc., P.F. Chang’s China Bistro, Baja Fresh Mexican Grill, First Watch Restaurants, Frederic Fekkai, Kettle Foods, Farley’s and Sathers Candy Co., and Odwalla, Inc. More information about the firm can be found at http://www.cpequity.com.

Eric Brielmann / Andrea Salas
Joele Frank, Wilkinson Brimmer Katcher
(212) 355-4449

02-13-2007, 07:10 PM
Earlier today, Heartland announced that it had taken on an equity partner in their business. I have posted that press release in this thread in a text format as well as a pdf attachment.

Scott Tuttle spoke to me about this announcement today and what it means for Heartland.

It simple terms, this equity investment will allow Heartland to reach the next level of success.

Look for more product and more product innovation from Heartland due to this investment.

It is also expected that Heartland will be investing in process and technology improvements.

Congratulations Heartland!

Jim Beletti

PS: Here's a Google Search Link (http://www.google.com/search?q=Heartland+RV+Receives+Investment+Catterto n) that will pull up this press release on many business sites

02-13-2007, 07:38 PM
To Heartand
This is good news for the company. I hope that they put some of this equity towards quality control, getting bigger usually means having more to control and better quality would go hand in hand with Heartland aproach to having what I feel is one of the best backed warranties in the RV industry. I can attest to this from experience.

02-13-2007, 08:19 PM
To the Heartland Management;
This is very exciting news for you as a growing company and all of us as owners of Heartland RV's. Congratulations, and we will all look forward to seeing the new innovations that this investment will enable Heartland to do. It will hopefully, allow you to continue to enhance the image of Heartland products and that will benefit us all.

Tom of Ypsi
02-13-2007, 09:36 PM
To All Heartland Personnel,

Congratulations on a job well done so far. With the investment firm I am sure things will become bigger and better. I echo the statement on quality control, bigger does not always mean better, just take a look at some of your competitors. Just keep up what your are doing, improving yourselves everyday and I am sure Heartland will be #l in the very near future.

Sign us as Happy Heartland Owners
Tom & Judy