Open Range RV of Shipshewana contemplates a transaction with Jayco Corp. that would make it a wholly owned, separate subsidiary of the Middlebury corporation, Jayco said today.
The two companies today entered into a letter of intent, and a transaction is subject to the execution of a definitive agreement, Jayco said in a statement.
Terms were not disclosed.
"The two companies are a natural match," said Randy Graber, president of Open Range. "Culturally speaking, both Jayco and Open Range enjoy strong relationships with their dealer body recognizing the importance of maintaining a partnership style association."
"Open Range will be a perfect addition to the Jayco family," said Derald Bontrager, Jayco's president and CEO, in the statement. "We are thrilled to partner with someone like Randy Graber who has such vast industry experience and innovative product knowledge."
Open Range has had growth of more than 20 percent annually, the statement said, and decided that to maintain and further increase that growth, it had to partner with a larger organization.