by Dom Wiseman

BRP have announced overnight that it has entered into an agreement to acquire 80% of the outstanding shares of Telwater Pty Ltd, (Telwater). Telwater are well known as the leading manufacturer of aluminium boats and trailers in Australia, with Quintrex, Stacer, Yellowfin Plate and Savage all under their umbrella. Following the closing of the acquisition, Paul Phelan, Telwater’s current owner and Managing Director , will continue to play a role in the ongoing operations of the business and will retain a 20% stake in the companies outstanding shares.

Telwater and BRP have previously had a successful business relationship with Telwater, offering Evinrude engines as part of Telwater’s ready to go packages and Telwater also looking after distribution in Australia of the Evinrude engine product through its dealers and the wider Australian dealer market.

When the intended acquisition is completed, Telwater will join the BRP Marine Group as an independent product line along with Evinrude, Alumacraft and Manitou brands. This purchase is aimed at allowing BRP to strengthen and growth opportunities in aluminium boats in regions with growth potential. It will also in the future, give BRP additional options for further acquisitions and support of other product lines.

It will be interesting to see how this acquisition plays out given it is yet to be finalised. Also interesting to watch will be how BRP will work with the existing Telwater dealer network, given some dealers currently offer rival engine brands on Telwater product, competing directly against the Evinrude brand owned by BRP.