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By Lauren Hirsch
Oct 6 The largest U.S. recreational vehicle
dealer, Camping World Holdings Inc, said it raised $251
million in an initial public offering on Thursday.
The IPO came as more baby boomers, the biggest buyers of
motorized homes, are retiring and selling their property to
travel across the United States in the vehicles.
Camping World said in a statement that it priced 11.4
million shares at $22 apiece, the midpoint of its indicated
range of $21 and $23.
The retiring large generation of baby boomers, born in
1946-1964, has helped the truck, tractor and trailing industry
grow 7.5 percent over the past five years, according to data
research organization IBIS World.
Millennials, born in 1980 through 2000, are a growing
market, as they prefer to spend on experiences and adventure
over material goods. They tend to buy smaller recreational
vehicles with retro designs, but are equipped with Wi-Fi and air
"Virtually anything you can think of, people use their R.V.s
to do, because it is comfortable and convenient," said Kevin
Broom, a spokesman for the R.V. Industry Association.
Lincolnshire, Illinois-based Camping World, founded in 1966,
is headed by Chief Executive Marcus Lemonis, star of the CNBC TV
reality show "The Profit." The company operates 120 retail
locations in 36 states under the banners Camping World and Good
Lemonis, who co-owns Camping World with private equity firm
Crestview Partners, will maintain "substantial control" over the
company through his ownership of ML Acquisition and ML R.V.
Group, according to the IPO registration statement.
Camping World generated about $3.3 billion in sales last
year, up from $1.5 billion in 2011. It will use proceeds from
the IPO to pay down its $695 million in long-term debt and for
general corporate purposes.
Camping World will trade on the New York Stock Exchange
under the ticker "CWH" as of Friday.
The underwriters are Goldman Sachs Group Inc,
JPMorgan Chase & Co, Bank of American Corp and
Credit Suisse Group AG.
(Reporting by Lauren Hirsch in New York; Editing by Richard