Why Ann Arbor-Based Pickup Truck E-Commerce Company Truck Hero Acquired Lund

By Amit Chowdhry ● May 18, 2019

Truck Hero, an Ann Arbor, Michigan-based pickup truck e-commerce company within CCMP Capital’s portfolio, recently announced the strategic acquisition of Lund International Holding Company. Based in Buford, Georgia, Lund is a portfolio company of Highlander Partners, LP and is considered a leading designer, manufacturer, and marketer of branded automotive accessories for a range of passenger cars, light trucks, SUVs, CUVs Jeeps, and heavy trucks. The value of the deal was undisclosed.

“This is an opportune time to bring Truck Hero and Lund together,” said Truck Hero president and CEO Bill Reminder. “Mitch Fogle (president and CEO of Lund) and the entire Lund team have built an impressive collection of great companies which will be a perfect match to Truck Hero. We look forward to working with Mitch and his team to leverage our combined capabilities to further build the Company’s position as the foremost source for automotive aftermarket accessories.”

Truck Hero is considered a market leader in a wide range of functional pickup truck and Jeep accessories that matches lifestyles of consumers and enhances the use of their vehicles. And the company benefits from market-leading brands, an extensive distribution network, and channel diversification, and dedicated sales capabilities. This deal adds a highly complementary product portfolio that further diversifies Truck Hero’s product category mix and increases exposure to a larger addressable market of vehicles.

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“We believe the merger of these two great companies is a winning combination. Together we manufacture and commercialize market leading brands that encompass the broadest product offering of vehicle accessories. We are extremely happy to join Bill and the Truck Hero family to continue to drive innovation across the industry,” added Fogle.

Lund International was originally founded in 1965, but it has roots going back to the 1920s. Founded in Anoka, Minnesota, Lund is leading the industry in meeting customer needs for innovative automotive accessories. And Lund is now one of the world’s leading automotive accessories providers — which offers highly functional, protective, and stylish products in more than 30 categories from some of the industry’s most recognized brand names including AMP Research, AVS, Belmor, Bushwacker, LUND, Rampage Products, RoadWorks Manufacturing, Roll-N-Lock, Stampede Automotive Accessories, and TonnoPro.

“The highly talented Lund and Highlander teams have built a very attractive, profitable and scalable portfolio of functional automotive accessories brands,” said Joe Scharfenberger, a Managing Director at CCMP Capital. “We and our partners at Truck Hero welcome them into the Truck Hero family and look forward to realizing the many benefits this combination will bring to our collective customers, employees and shareholders,” explained Highlander Partners CE and president Jeff L. Hull. “We decided that the combining of Lund into Truck Hero was an outstanding opportunity to further enhance an already successful investment. We will be a significant shareholder in the combined company and look forward to continuing our partnership with the Lund management and working alongside Bill and his team at Truck Hero, as well as CCMP, to continue to grow these businesses.”

This is Truck Hero’s fifteenth acquisition since it launched in 2007. And it fits the company’s growth strategy of buying businesses within the vehicle accessory market that further diversifies its product portfolio into attractive, complementary, and high growth segments.

Ropes & Gray LLP advised Truck Hero and CCMP for this deal. And Katten Muchin Rosenman LLP advised advised Lund and Highlander. Plus Jefferies provided financing and served as advisors for Truck Hero.