Purchase moves pool equipment company into spa OEM market
In March, Fluidra, manufacturer of pool and wellness equipment brands like Jandy and Zodiac, announced its acquisition of Georgia-based Custom Molded Products (CMP), manufacturer of pool and spa components. CMP brands include SpaMaster, DEL, Bobé and Brilliant Wonders. With manufacturing and distribution facilities in multiple U.S. and Chinese locations, CMP products are supported by distributors and OEMs in the United States, Canada, Latin America, Europe, Australia and the Middle East. The acquisition was valued at $245 million.
“CMP is a great fit — commercially, operationally and culturally — and a valuable extension to Fluidra’s existing North American operation,” says Bruce Brooks, CEO of Fluidra. “This acquisition allows us to expand our product portfolio in strategic areas to better meet customer demand, as well as by entering the new spa OEM market. We intend to draw from our Fluidra-Zodiac integration expertise to successfully achieve the numerous synergies identified.”
With this acquisition, Fluidra expects to rapidly expand its offering in several strategic growth categories, such as fast-growing alternative sanitizers, white goods to support its Jandy equipment range and dedicated spa equipment, a substantial adjacent segment and opportunity for the company. Additionally, CMP’s broad range of LED solutions and water and fire features will complement and extend Fluidra’s existing portfolio.
“We are thrilled to be joining Fluidra and recognize this as a tremendous growth opportunity,” says Tom Moore, CEO of CMP. “With its established and trusted reputation in the industry, we are confident that this will position both Fluidra and CMP for continued success in the years ahead.”
The CMP team and its base of operations will remain in Georgia. “In the months ahead, CMP will continue to operate in an independent manner as it did prior to the acquisition, and you will not notice any disruption to your business,” Moore says in a letter to customers. “You can continue to interact with us as you normally would through your usual contacts. Our customer focus, as well as our commitment to investing in increased capacity and driving operational growth, will remain our focus as we move forward. Over time, as we bring CMP into the Fluidra family, we will be sure to notify you well in advance of any changes so you can plan accordingly.”
Troy Franzen, president of Fluidra North America, says the company is working to ensure the ethylene/propylene shortages impacting the plastics industry doesn’t affect CMP customers too much.
“As an industry, there is currently strong demand for our products and services, and we are working extremely hard to meet that demand,” Franzen says. “In the case of CMP, the company has a strong supply chain and is working tirelessly to keep customers supplied with product. Additionally, we plan to make strategic investments immediately to help increase capacity.”