Following on the heels of Skyline Corporation’s tentative agreement to sell its recreational vehicle (RV) division to Evergreen Recreational Vehicles LLC, as MHProNews reported Sept. 26, Cavco Industries, Inc. announced that it has attempted for the past 30 days, through various channels, to open a dialogue with the Skyline board of directors about acquiring the company. The sole communication from Skyline produced a negative response according to rvbusiness.com. Cavco’s CEO and president, Joseph Stegmayer, even attended Skyline’s annual shareholders meeting in an attempt to discuss the matter.

Noting Skyline shareholders’ equity has fallen from $178 million at the beginning of 2008 to $34 million as of May 31, 2014, and the company has reported annual losses for seven consecutive years, Cavco has offered shareholders 29 percent to 66 percent above the Sept. 24 closing price of $2.71 per share. Stegmayer said, “Cavco has a great deal of respect for the Skyline brand and for Skyline’s experienced and highly credentialed board members. Unfortunately, Skyline has experienced difficult times during the past seven years and has meaningfully underperformed.” Cavco remains interested in holding talks with Skyline, a producer of manufactured and modular homes as well as rvs, suggesting that a possible transaction could occur within a relatively short time. ##

(Image credit: Cavco Industries, Inc.–lapsided manufactured home)