EV Group, Inc. (“REV Group”), a leading manufacturer of specialty vehicles for commercial, fire & emergency and recreation markets, announced today the acquisition of Kovatch Mobile Equipment Corp. (“KME” or the “Company”).
Founded in 1946 and headquartered in Nesquehoning, Pennsylvania, KME has grown to over 800 associates with company operations in Pennsylvania, Virginia, New York, and California. The Company produces a broad portfolio of high quality and customized specialty vehicle products, and markets them to fire-rescue, military, aviation, and industrial customers globally. KME’s products include fire apparatus (pumpers, aerials, tankers), rescue vehicles, and fuel trucks, among others.
“Over a span of 70 years, our family and company associates have proudly served our customers,” stated John Kovatch III, President & CEO of KME. “We are very proud of what our employees have accomplished over that time span and thank them for their hard work and dedication to outstanding customer service. REV Group has great expertise in the specialty vehicle industry and we look forward to even further growth with them in the years ahead,” he added.
Concurrent with the transaction close, John Kovatch III will be leaving his position as KME’s President & CEO, however he will play an integral role during the transition phase as KME becomes part of the REV Group. John will interact directly with Tim Sullivan, REV Group CEO.
The Company headquarters and its primary manufacturing operations will remain in Nesquehoning, PA. This facility along with other KME facilities in Roanoke, VA; Ontario, CA; Albany, NY; and Rockaway, NJ will continue to be an integral part of their operations. KME also has an extensive independent dealer network that will continue promoting and selling the KME brand and product portfolio worldwide.
“We are extremely excited to have KME join REV Group,” stated Tim Sullivan, CEO. “KME brings a tremendous brand, a talented group of employees and a world class product portfolio that adds to our capabilities to better serve our customers’ and dealers’ needs throughout the country,” he added. “Additionally, John’s breadth of industry experience will be very beneficial after the acquisition and I look forward to working with him. We congratulate him on his leadership over the past several decades which has resulted in the outstanding business that exists today,” Sullivan concluded.
The transaction is expected to close early in the second quarter of 2016.
Excerpts from the TimesNewsonline.com:
Kovatch Corporation, one of Carbon County’s largest employers, is selling its fire truck business to a Florida based company. But local employees are not expected to be affected by the move, according to company officials.
A deal is being finalized to sell the Nesquehoning-based fire truck manufacturer to REV Group, a Florida based company which owns a number of specialty vehicle manufacturers.
John Kovatch IV, the company’s vice president and customer service director, confirmed the deal on Monday. It only affects the company’s emergency vehicle business. He said the sale should be concluded this week. The news was announced to employees on Monday. Kovatch IV was optimistic that the number of jobs in Nesquehoning will grow, not decrease, as a result of the deal.
Both companies are privately held. REV Group, which changed its name last year from Allied Specialty Vehicles last year.
Kovatch IV’s grandfather, John “Sonny” Kovatch II, founded the business in 1946, and first opened its manufacturing facility at the intersection of routes 209 and 54 in 1950. Since then it has grown to become Carbon County’s largest employer, with more than 700 employees. John Kovatch III currently serves as the company’s CEO.
Kovatch IV said for the company’s local employees, there will be no changes resulting from the deal. He actually expects the number of employees at the Nesquehoning site to go up once the transaction is complete.
“It’s a great opportunity for all of our employees, and all of our customers,” he said.
Excerpts from WFMZ.com:
KME Fire and Rescue, located in Nesquehoning, Carbon County, is being bought by Orlando, Florida-based The Rev Group.
KME owner John Kovatch said no jobs will be lost with this purchase. In fact, the company anticipates more jobs will be added in the future.
“This is a merger that will make us right up there with the biggest players in the industry,” he said.
The KME name will not change. The deal has been in the works since September and could be finalized as early as Friday. Employees were told Monday morning.
KME builds heavy duty vehicles: fire trucks, garbage trucks and even some vehicles for the military.
The company, started in 1946, employs approximately 700 people.