Mustang Marine sale expected soon
by Powerboat-world.com on 11 Nov 2007
Mustang Marine 4600 Sportscruiser Mustang Marine .
http://www.mustangemarine.com.au
The sale of Australian luxury boat builder Mustang Marine could occur within a few weeks according to Receiver Managers Sydney-based Ferrier Hodgson.
Ferrier Hodgson Steve Sherman released a statement on October 19 after taking control of the business saying that he was hopeful of finding a buyer and wanted to maintain the business as a going concern, however expressions of interest were sought for an outright sale, a recapitalisation or an asset sale. Fortunately there has been strong interest in the company as a going concern and Ferrier Hodgson are optomistic that an outright sale could occur soon.
Two years ago there was a $65 million management buyout from former owner Gary Garoni. Soon after the sale Mustang's Board of Directors announced they would invest AUS$10 million into the business for an expansion into export markets.
The company had said at the time it wanted to increase exports from 20 to 50 per cent of total sales and last year Mustang Marine build around 200 boats. Sports cruisers 28-40 feet, and flybridge cruisers for 37 to 56 feet.
However the recent rapid rise in the value of the Australian dollar against the US dollar has made export sales significantly less profitable.
Mustang Marine is close to being 'back on track' in the words of President Ken Overman 'We really are doing business as usual. The factory is building and shipping boats and all personnel in administrative offices are there, pushing ahead.'
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