Morbark LLC, Winn, Michigan, announced it has acquired Rayco Manufacturing Inc., Wooster, Ohio. This transaction represents the first addition since affiliates of the private equity firm Stellex Capital Management LP, New York City, acquired Morbark in 2016. The purchase of Rayco represents a move toward the company’s goal of broadening the range of tree care and industrial equipment, aftermarket parts and service offered to its customers.
Rayco was founded in 1978 by John M. Bowling. Today the company is dedicated to the design and production of environmental equipment. The current range of Rayco products includes stump cutters, crawler trucks, forestry mulchers, multitool carriers and attachments, brush chippers and the new AT71 aerial trimmer.
“Our family is very proud of the legacy we have established and nurtured over the past 39 years,” John Bowling, CEO of Rayco, says. “As a family run and owned business, we view today’s transaction as an opportunity to continue growing our business while joining an even larger family.”
“We are thrilled to welcome Rayco to the Morbark portfolio of companies,” Dave Herr, CEO of Morbark, says. “Rayco is a company that our senior management team has admired for a long time. We value the long-standing success of Rayco and are committed to providing the Bowling family and their dedicated employees the resources they need to continue the success they have built.”
Transaction highlights include:
- Rayco founder John Bowling will continue his work with the team to develop new products and help improve the company’s existing product lines. He will continue to have an economic interest in the combined business and will be a member of Morbark’s Board of Directors.
- Morbark will operate Rayco as a new division maintaining its brand identity. Rayco’s experienced management team will continue to manage their operations. Teams from each company will work together.
“Rayco has a well-deserved reputation for providing customers with the equipment and service they demand and the value they deserve,” Herr says. “That product innovation and dedication will continue without interruption. We are excited by what we can bring to Rayco in the way of our experiences, our dealer network and products to complement current Rayco equipment owners.”