- RPM Automotive Group (RPM) enters a binding agreement to acquire safety products business Safety Dave for $9.5 million
- Established in 2002, Safety Dave is a leader in specialist safety products for caravans and campervans
- The $9.5 million acquisition cost will consist of a 70 per cent cash payment and 30 per cent in RPM shares
- Further, the acquisition is subject to standard conditions and RPM expects completion on or by February 1, 2022
- RPM shares were sitting at 30.5 cents by the end of the trading day
RPM Automotive Group (RPM) has entered a binding agreement to acquire safety products business Safety Dave for $9.5 million.
Established in 2002, Safety Dave is a leader in specialist safety products for caravans and campervans.
Its products include defibrillators, rear vision systems, first aid kits, fire safety products and tyre pressure monitoring systems, all of which conform to Australian safety regulations and standards.
As part of the acquisition, RPM will provide Safety Dave with the infrastructure and logistics to better service the caravan, camper trailer and RV industry.
Additionally, it will allow Safety Dave to expand its customer base to include the Carline Automotive Group and Formula Offroad’s national distribution platform.
RPM CEO Clive Finkelstein commented on the acquisition.
“The acquisition of Safety Dave is a key milestone for our business, supporting our vision of becoming a leader in the Australian automotive aftermarket,” Mr Finkelstein said.
“The addition of this iconic Australian aftermarket brand will see RPM enter the fast-growing recreational vehicle market of caravans and camper trailers that has experienced strong growth of 26.7% over the last five years.”
The $9.5 million acquisition cost will consist of a 70 per cent cash payment and 30 per cent in RPM shares.
The shares will be escrowed for 12 months and will have an issue price equal to the 30-day volume-weighted average price as of December 17.
The acquisition will be paid 70 per cent at completion and 30 per cent on the first anniversary of completion.
Further, the acquisition is subject to standard conditions and RPM expects completion on or by February 1, 2022.
RPM shares were sitting at 30.5 cents by the end of the trading day.