Swedish marine and industrial engine manufacturer Volvo Penta plans to acquire majority ownership of Germantown-based outboard motor manufacturer Seven Marine LLC. The deal is expected to close “in the nearest future” for an undisclosed price, if all conditions are met.
Part of automotive manufacturer Volvo Group, Volvo Penta would add outboard motors to its product mix with the majority ownership stake in Seven Marine. Volvo Penta has about 3,500 dealers in more than 130 countries and is a leading global engine and power system manufacturer for boats, vessels and industrial use. It makes diesel and gasoline engines with 10 to 900 horsepower, and has developed a variety of innovative marine products in its 110 years in the market.
Founded in 2010, Seven Marine targets the high-end leisure market with industry leading outboard power outputs of 557 to 627 hp through the use of automotive technology. The company set itself apart through its approach to innovation in techniques and architecture, according to Volvo Penta. The Germantown firm would have access to additional technology and expertise from Volvo Penta through the transaction. And both firms use automotive technology in their products, so there would be overlap.
In the integration, Seven Marine will continue to operate independently, keeping its brand, product line and organizational structure. Volvo Penta Americas region president Ron Huibers would become chairman of Seven Marine. Rick Davis would continue to serve as president and CEO of Seven Marine.
“This is a great development for us,” Davis said. “As a young company, we have pushed ourselves forward to revolutionize the outboard experience in a short period of time. And in partnering with Volvo Penta, we will have a solid backing to continue improving the customer experience through the pursuit of technological and innovation advancement.”
“The Seven Marine concept mirrors the successful strategy we have followed in pursuing automotive technology,” said Björn Ingemanson, president of Volvo Penta. “Just as we are a leader in diesel and gasoline engine technology, Seven Marine leads its market for state-of-the-art outboards.”
“This is an exciting step for Volvo Penta,” Huibers said. “We are combining the strength of two highly innovative companies to deliver an unbeatable engine range for the gasoline segment. We will not only come to market with an extremely attractive outboard solution, but we will deliver the benefits of our world-class service network to a broader range of customers.”