Delaware
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001-39213
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83-4330138
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(State or other jurisdiction of incorporation)
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(Commission File Number)
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(IRS Employer Identification No.)
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6275 Lanier Islands Parkway
Buford, Georgia
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30518
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(Address of principal executive offices)
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(Zip Code)
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☐ |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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☐ |
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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☐ |
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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☐ |
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Class A Common Stock, par value $0.01 per share
|
ONEW
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The Nasdaq Global Market
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Item 1.01 |
Entry into a Material Definitive Agreement.
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Item 2.02 |
Results of Operations and Financial Condition.
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Item 2.03 |
Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.
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Item 9.01 |
Financial Statements and Exhibits.
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(d) |
Exhibits.
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Exhibit Number
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Description
|
|
Press Release issued by OneWater Marine Inc., dated February 4, 2021.**
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* |
Filed herewith.
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** |
Furnished herewith.
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¥ |
Certain schedules and exhibits to this agreement have been omitted in accordance with Item 601(a)(5) of Regulation S-K. A copy of any omitted schedule and/or exhibit will be furnished to the Securities and Exchange Commission on request.
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ONEWATER MARINE INC.
|
||
By:
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/s/ Jack Ezzell
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Name:
|
Jack Ezzell
|
|
Title:
|
Chief Financial Officer
|
|
Dated: February 4, 2021
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Installment Date
|
Aggregate Principal Amount
|
||||
March 31, 2021
|
$
|
1,375,000
|
|||
June 30, 2021
|
$
|
1,375,000
|
|||
September 30, 2021
|
$
|
1,375,000
|
|||
December 31, 2021
|
$
|
1,375,000
|
|||
March 31, 2022
|
$
|
1,375,000
|
|||
June 30, 2022
|
$
|
1,375,000
|
|||
September 30, 2022
|
$
|
1,375,000
|
|||
December 31, 2022
|
$
|
1,375,000
|
|||
March 31, 2023
|
$
|
2,065,500
|
|||
June 30, 2023
|
$
|
2,065,500
|
|||
September 30, 2023
|
$
|
2,065,500
|
|||
December 31, 2023
|
$
|
2,065,500
|
|||
March 31, 2024
|
$
|
2,750,000
|
|||
June 30, 2024
|
$
|
2,750,000
|
|||
September 30, 2024
|
$
|
2,750,000
|
|||
December 31, 2024
|
$ |
2,750,000
|
|||
March 31, 2025
|
$ |
2,750,000
|
|||
June 30, 2025
|
$ |
2,750,000
|
|||
Maturity Date
|
Remaining outstanding principal amount of Initial Term Loans
|
PARENT:
|
ONEWATER MARINE INC.,
|
||
as the Parent
|
|||
By:
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/s/ Philip Austin Singleton, Jr.
|
||
Name: Philip Austin Singleton, Jr.
|
|||
Title: CEO
|
|||
HOLDINGS:
|
ONE WATER MARINE HOLDINGS, LLC,
|
||
as Holdings
|
|||
By:
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/s/ Philip Austin Singleton, Jr.
|
||
Name: Philip Austin Singleton, Jr.
|
|||
Title: CEO
|
|||
BORROWER:
|
ONE WATER ASSETS & OPERATIONS, LLC,
|
||
as the Borrower
|
|||
By:
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/s/ Philip Austin Singleton, Jr.
|
||
Name: Philip Austin Singleton, Jr.
|
|||
Title: CEO
|
|||
GUARANTORS:
|
SINGLETON ASSETS & OPERATIONS, LLC
|
||
LEGENDARY ASSETS & OPERATIONS, LLC
|
|||
SOUTH FLORIDA ASSETS & OPERATIONS, LLC
|
|||
MIDWEST ASSETS & OPERATIONS, LLC
|
|||
SOUTH SHORE LAKE ERIE ASSETS &
|
|||
OPERATIONS, LLC
|
|||
BOSUN’S ASSETS & OPERATIONS, LLC,
|
|||
as Guarantors
|
|||
By:
|
/s/ Philip Austin Singleton, Jr.
|
||
Name: Philip Austin Singleton, Jr.
|
|||
Title: Manager
|
TRUIST BANK,
|
|||
By:
|
/s/ Tesha Winslow
|
||
Name: Tesha Winslow
|
|||
Title: Director
|
STIFEL BANK & TRUST,
|
|||
By:
|
/s/ Tim Howard
|
||
Name: Tim Howard
|
|||
Title: VP – C&I Lending
|
IBERIABANK, a division of First Horizon Bank,
|
|||
as a 2021 Incremental Term Lender
|
|||
By:
|
/s/ Donald W. Dobbins, Jr.
|
||
Name: Donald W. Dobbins, Jr.
|
|||
Title: SVP
|
BBVA USA,
|
|||
as a 2021 Incremental Term Lender
|
|||
By:
|
/s/ John Whittenburg
|
||
Name: John Whittenburg
|
|||
Title: SVP
|
SYNOVUS BANK,
|
|||
as a 2021 Incremental Term Lender
|
|||
By:
|
/s/ Robert Haley | ||
Name: Robert Haley
|
|||
Title: Corporate Banker
|
KEYBANK NATIONAL ASSOCIATION,
|
|||
as a 2021 Incremental Term Lender
|
|||
By:
|
/s/ Jason A Nichols | ||
Name: Jason A Nichols
|
|||
Title: Vice President
|
HANCOCK WHITNEY,
|
|||
as a Lender
|
|||
By:
|
/s/ Jennifer Pelham
|
||
Name: Jennifer Pelham
|
|||
Title: Senior Vice President
|
|
• |
Revenue increased 39% to $214.1 million
|
• |
Same-store sales increased 38%
|
• |
Net income increased to $11.8 million, or $0.71 per diluted share
|
• |
Adjusted EBITDA1 increased to $16.7 million
|
• |
Completed three of the largest acquisitions in company history
|
For the Three Months Ended December 30
|
2020
|
2019
|
$ Change
|
% Change
|
||||||||||||
(unaudited, $ in thousands)
|
||||||||||||||||
Revenues
|
||||||||||||||||
New boat sales
|
$
|
151,828
|
$
|
102,852
|
$
|
48,976
|
47.6
|
%
|
||||||||
Pre-owned boat sales
|
38,580
|
33,071
|
5,509
|
16.7
|
%
|
|||||||||||
Finance & insurance income
|
5,963
|
4,325
|
1,638
|
37.9
|
%
|
|||||||||||
Service, parts & other sales
|
17,712
|
13,450
|
4,262
|
31.7
|
%
|
|||||||||||
Total revenues
|
$
|
214,083
|
$
|
153,698
|
$
|
60,385
|
39.3
|
%
|
1
|
See reconciliation of Non-GAAP financial measures below.
|
For the three months ended December 31,
|
||||||||
2020
|
2019
|
|||||||
Revenues
|
||||||||
New boat sales
|
$
|
151,828
|
$
|
102,852
|
||||
Pre-owned boat sales
|
38,580
|
33,071
|
||||||
Finance & insurance income
|
5,963
|
4,325
|
||||||
Service, parts & other sales
|
17,712
|
13,450
|
||||||
Total revenues
|
214,083
|
153,698
|
||||||
Gross Profit
|
||||||||
New boat
|
29,296
|
16,897
|
||||||
Pre-owned boat
|
8,128
|
5,205
|
||||||
Finance & insurance
|
5,963
|
4,325
|
||||||
Service, parts & other
|
9,049
|
5,762
|
||||||
Total gross profit
|
52,436
|
32,189
|
||||||
Selling, general and administrative expenses
|
34,860
|
28,305
|
||||||
Depreciation and amortization
|
963
|
760
|
||||||
Transaction costs
|
200
|
437
|
||||||
Loss on contingent consideration
|
377
|
-
|
||||||
Income from operations
|
16,036
|
2,687
|
||||||
Other expense (income)
|
||||||||
Interest expense – floor plan
|
920
|
2,659
|
||||||
Interest expense – other
|
924
|
1,853
|
||||||
Change in fair value of warrant liability
|
-
|
(771
|
)
|
|||||
Other (income) expense, net
|
(94
|
)
|
13
|
|||||
Total other expense, net
|
1,750
|
3,754
|
||||||
Income (loss) before income tax expense
|
14,286
|
(1,067
|
)
|
|||||
Income tax expense
|
2,511
|
-
|
||||||
Net income (loss)
|
11,775
|
(1,067
|
)
|
|||||
Less: Net income attributable to non-controlling interests
|
247
|
|||||||
Net loss attributable to One Water Marine Holdings, LLC
|
$
|
(1,314
|
)
|
|||||
Less: Net income attributable to non-controlling interests of One Water Marine Holdings, LLC
|
(3,987
|
)
|
||||||
Net income attributable to OneWater Marine Inc
|
$
|
7,788
|
||||||
Earnings per share of Class A common stock – basic
|
$
|
0.72
|
||||||
Earnings per share of Class A common stock – diluted
|
$
|
0.71
|
||||||
Basic weighted-average shares of Class A common stock outstanding
|
10,776
|
|||||||
Diluted weighted-average shares of Class A common stock outstanding
|
10,986
|
December 31,
2020
|
December 31,
2019
|
|||||||
Cash
|
$
|
25,952
|
$
|
10,461
|
||||
Restricted cash
|
3,984
|
250
|
||||||
Accounts receivable, net
|
14,499
|
9,574
|
||||||
Inventories
|
196,114
|
313,837
|
||||||
Prepaid expenses and other current assets
|
13,307
|
11,945
|
||||||
Total current assets
|
253,856
|
346,067
|
||||||
Property and equipment, net
|
62,833
|
17,489
|
||||||
Other assets:
|
||||||||
Deposits
|
392
|
345
|
||||||
Deferred tax assets
|
14,690
|
-
|
||||||
Identifiable intangible assets
|
74,004
|
61,304
|
||||||
Goodwill
|
142,274
|
113,059
|
||||||
Total other assets
|
231,360
|
174,708
|
||||||
Total assets
|
$
|
548,049
|
$
|
538,264
|
||||
Accounts payable
|
$
|
10,545
|
$
|
5,610
|
||||
Other payables and accrued expenses
|
14,161
|
14,188
|
||||||
Customer deposits
|
23,386
|
7,736
|
||||||
Notes payable – floor plan
|
170,320
|
264,481
|
||||||
Current portion of long-term debt
|
10,481
|
6,823
|
||||||
Total current liabilities
|
228,893
|
298,838
|
||||||
Other long-term liabilities
|
5,651
|
1,569
|
||||||
Warrant liability
|
-
|
50,116
|
||||||
Tax receivable agreement liability
|
17,556
|
-
|
||||||
Long-term debt, net of current portion and unamortized debt issuance costs
|
111,466
|
67,013
|
||||||
Total liabilities
|
363,566
|
417,536
|
||||||
Redeemable preferred interest in subsidiary
|
-
|
87,053
|
||||||
Members’ equity
|
-
|
27,961
|
||||||
Preferred stock, $0.01 par value, 1,000,000 shares authorized, none issued and outstanding as of December 31, 2020 and December 31, 2019
|
-
|
-
|
||||||
Class A common stock, $0.01 par value, 40,000,000 shares authorized, 10,867,291 shares issued and outstanding as of December 31, 2020 and none issued and outstanding as of December 31,
2019
|
109
|
-
|
||||||
Class B common stock, $0.01 par value, 10,000,000 shares authorized, 4,108,007 shares issued and outstanding as of December 31, 2020 and none issued and outstanding as of December 31, 2019
|
41
|
-
|
||||||
Additional paid-in capital
|
111,859
|
-
|
||||||
Retained earnings
|
24,545
|
-
|
||||||
Total stockholders’ equity attributable to OneWater Marine Inc. and members’ equity
|
136,554
|
27,961
|
||||||
Equity attributable to non-controlling interests
|
47,929
|
5,714
|
||||||
Total stockholders’ and members’ equity
|
184,483
|
33,675
|
||||||
Total liabilities, stockholders’ and members’ equity
|
$
|
548,049
|
$
|
538,264
|
For the three months ended December 31,
|
||||||||
Description
|
2020
|
2019
|
||||||
Net income (loss)
|
$
|
11,775
|
$
|
(1,067
|
)
|
|||
Interest expense – other
|
924
|
1,853
|
||||||
Income tax expense
|
2,511
|
-
|
||||||
Depreciation and amortization
|
963
|
760
|
||||||
Loss on contingent consideration
|
377
|
-
|
||||||
Transaction costs
|
200
|
437
|
||||||
Change in fair value of warrant liability
|
-
|
(771
|
)
|
|||||
Other (income) expense, net
|
(94
|
)
|
13
|
|||||
Adjusted EBITDA
|
$
|
16,656
|
$
|
1,225
|