MINNEAPOLIS - Polaris Industries has acquired the company that designs, develops and distributes Klim Technical Riding Gear, the apparel company most known for producing high-end, durable apparel for the snowmobile and motorcycle markets.
By acquiring the Rigby, Idaho-based Teton Outfitters, LLC — and the Klim (pronounced climb) brand — to its lineup, Polaris is continuing to strengthen its growing PG&A business which includes gear for Polaris, Victory Motorcycles and Indian Motorcycle.
The move also allows Klim to grow through Polaris' scale, infrastructure and high profile in the international powersports market. The terms of the transaction were not disclosed.
"Klim is an established leader in the powersports apparel market with a strong track record of providing innovative, premium technical riding gear to a broad range of consumers," said Steve Eastman, Polaris vice president of PG&A. "Adding an outstanding brand like Klim … gives us a more complete PG&A product lineup."
Klim will operate as a standalone business under Polaris, and its 50,000 sq. ft. facility in eastern Idaho will become Polaris' Center of Excellence for Apparel design and development. Its founder and CEO, Justin Summers, will continue to oversee all of Klim's operations. Each of the brand's products will be handled by distinct, dedicated brand teams in Rigby.
According to information included in the announcment, the privately-held company had 2012 estimated sales approaching $30 million, primarily in North America. The dealer- and consumer-direct manufacturer has 55+employees and sells through a network of 850 dealers in the U.S.
“I built KLIM with a passion for the category and a commitment to the world’s adventure snowmobile and motorcycle riders,” said Justin Summers, KLIM founder, president and CEO. "We had a vision of making products that mattered, that solved problems and that were the best they could be. I am very proud of what we have built at KLIM."
This is just the latest acquisition for Polaris Industries, whose expansion efforts have included forays into the electrical vehicle market and joint international operations. The Minnesota-based OEM acquired the storied Indian Motorcycle brand in 2011, the same year it bought Global Electric Motorcars and Goupil Industrie SA — which both operate in the electric vehicle market. It also has invested in Brammo, Inc.
Earlier this year Polaris announced a joint venture with the parent company of Royal Enfield, Eicher Motors Limited, to develop vehicles in emerging markets such as India and other countries.
Polaris' has also forged ahead as one of the market leaders in the off-road four-wheeler markets with its ATVs, Ranger side-by-sides and RZRs. The company posted sales of $2.7 billion in 2011.
Posted by Dennis Johnson