Thor Industries in Elkhart will pay about $16.7 million in cash to acquire Navistar International Corp.'s Bison Coach trailer manufacturing business.
Milford-based Bison Coach was founded in 1984. The business makes horse trailers, and in 2003 it began offering living-quarters conversions on its trailers.
In a statement, Thor said the Bison Coach business will report through Thor's Livin' Lite subsidiary and is expected to generate about $30 million in sales for its fiscal year that ended Oct. 31.
"We are pleased to welcome Bison Coach to the Thor team," Bob Martin, Thor president and CEO, said in the statement. "The addition of Bison adds depth in a new specialty market of equine trailers equipped with living quarters.
"We believe there are solid opportunities to leverage the design and distribution strengths of our core RV businesses to Bison's existing products and markets, resulting in better growth in revenues and profitability. Bringing Thor's strength in designing innovative living spaces in the RV business to Bison's living quarters makes perfect sense and should help drive additional improvements in Bison's products."
In May, Lisle, Ill.-based Navistar sold its Monaco Coach and other recreational-vehicle assets to Allied Specialty Vehicles of Orlando, Fla.
Thor's cash acquisition of Bison Coach is subject to post-closing adjustments.