Fox Factory Holding Corp. Announces Operations Expansion
October 31 2018 - 3:05PM
FOX to Increase Powered Vehicles Group
Manufacturing and Operations Capabilities
Fox Factory Holding Corp. (NASDAQ: FOXF) (“FOX” or the “Company”)
today announced that it has agreed to purchase a 23-acre site in
Hall County, Georgia to diversify its manufacturing platform and
provide additional long-term capacity to support growth in its
Powered Vehicles Group. FOX also plans to relocate its corporate
headquarters from Scotts Valley, California to its existing offices
in Georgia by the end of the year. Additionally, FOX plans to
relocate its aftermarket bike products distribution, sales, and
service operations from Watsonville and Scotts Valley, California
to Reno, Nevada to better serve its customers.
The first phase of the Hall County, Georgia
project is expected to be completed in early 2020, and will be used
for manufacturing, warehousing, distribution, and office space. The
Company’s Scotts Valley, California location will remain an
essential shared services facility housing certain corporate
functions.
FOX believes the creation of a campus
environment in Hall County, Georgia will allow its Powered Vehicle
Group to continue to grow efficiently and foster increased
innovation and collaboration between its teams and customers. FOX
plans to invest up to $50 million in capital expenditures and
employ up to 800 personnel over the next five years, dependent on
market and general economic conditions in Georgia. This planned
capital investment is consistent with the Company’s previously
announced capital expenditure expectations in the range of 5% to 6%
of sales for 2018 and 2019 to support the demand and strength of
its business.
“Georgia provides the business environment and
skilled workforce for innovative companies like Fox Factory Holding
Corp. to enjoy long-term success and compete worldwide,” said
Georgia’s Governor, Nathan Deal. “By relocating its headquarters to
Georgia and expanding its facilities in Hall County, the company
will continue to enjoy the benefits of the No. 1 state for
business, including our expansive logistics infrastructure and
a low-tax climate conducive to manufacturing. I am encouraged to
see yet another industry leader choose to expand operations here,
as Fox Factory Holding Corp.’s investment will produce
meaningful results and create even more opportunities in the Hall
County community. I congratulate Fox Factory Holding Corp. on its
growth and we look forward to many more years of this successful
partnership.”
"Fox Factory Holding Corp. is the leader in
innovation and performance brands where they compete, and we are
excited to welcome the company to Gainesville-Hall County,
Georgia,” stated Tim Evans, GHCC Vice President of Economic
Development.
“We are pleased to announce the plans for a new
state of the art campus in Hall County, Georgia,” stated Larry L.
Enterline, FOX's Chief Executive Officer. “This new site will allow
us to add an additional world-class manufacturing operation for our
Powered Vehicles Group that we intend to be ISO9001 and IATF 16949
certified, and will increase our ability to better serve our OEM
customers and on-road aftermarket business.”
“The decision to expand our manufacturing and
operations, relocate our headquarters, and move our aftermarket
bike operations was the result of extensive research by our team
and will better support the needs of our growing business over the
next several years,” Mr. Enterline continued.
About Fox Factory Holding Corp. (NASDAQ:
FOXF)
Fox Factory Holding Corp. designs and
manufactures performance-defining ride dynamics products primarily
for bicycles, on-road and off-road vehicles and trucks,
side-by-side vehicles, all-terrain vehicles, snowmobiles, specialty
vehicles and applications, and motorcycles. The Company is a direct
supplier to leading power vehicle original equipment manufacturers
("OEMs"). Additionally, the Company supplies top bicycle OEMs and
their contract manufacturers, and provides aftermarket products to
retailers and distributors.
FOX is a registered trademark of Fox Factory,
Inc. NASDAQ Global Select Market is a registered trademark of The
NASDAQ OMX Group, Inc. All rights reserved.
Cautionary Note Regarding
Forward-Looking Statements
Certain statements in this press release may be
deemed to be forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended and Section
21E of the Securities Exchange Act of 1934, as amended. The Company
intends that all such statements be subject to the “safe-harbor”
provisions contained in those sections. Forward-looking statements
generally relate to future events or the Company’s future financial
or operating performance. In some cases, you can identify
forward-looking statements because they contain words such as
“may,” “might,” “will,” “would,” “should,” “expect,” “plan,”
“anticipate,” “could,” “intend,” “target,” “project,”
“contemplate,” “believe,” “estimate,” “predict,” “likely,”
“potential” or “continue” or other similar terms or expressions.
Many important factors may cause the Company’s actual results,
events or circumstances to differ materially from those discussed
in any such forward-looking statements, including but not limited
to future economic or market conditions and the other risks and
uncertainties described in “Risk Factors” contained in its Annual
Report on Form 10-K or Quarterly Reports on Form 10-Q or otherwise
described in the Company’s other filings with the Securities and
Exchange Commission. New risks and uncertainties emerge from time
to time and it is not possible for the Company to predict all risks
and uncertainties that could have an impact on the forward-looking
statements contained in this press release. In light of the
significant uncertainties inherent in the forward-looking
information included herein, the inclusion of such information
should not be regarded as a representation by the Company or any
other person that the Company’s expectations, objectives or plans
will be achieved in the timeframe anticipated or at all. Investors
are cautioned not to place undue reliance on the Company’s
forward-looking statements and the Company undertakes no obligation
to publicly update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as required by law.
Contact
ICRKatie
Turner646-277-1228Katie.Turner@icrinc.com
Fox Factory (NASDAQ:FOXF)
Historical Stock Chart
From Apr 2024 to May 2024
Fox Factory (NASDAQ:FOXF)
Historical Stock Chart
From May 2023 to May 2024