ATV, snowmobile and motorcycle maker Polaris Industries is buying the contract-manufacturing firm WSI Industries for $24 million, company officials announced Thursday.
The purchase, expected to close in the fourth quarter, gives Polaris the reins of Monticello, Minn.-based WSI. The publicly held WSI has been making high-precision parts for Polaris for about 20 years. It generated nearly $26 million in revenue during the first three quarters of its fiscal year, officials said.
"By bringing precision-manufacturing capability in house, the acquisition of WSI Industries supports our long-term supply-chain strategy and is an exciting value-creation opportunity for Polaris," said Polaris executive vice president Ken Pucel.
WSI Industries specializes in machining complex, high-precision parts for various industries, including automotive, aerospace, energy, bioscience and defense suppliers.
After the deal closes, WSI will be run as "a distinct operation and will continue to support their current non-Polaris customers," Polaris spokeswoman Jessica Rogers said in an e-mail.
The small acquisition is the latest of several deals for Polaris, which makes off-road four-wheelers, motorcycles, snowmobiles and boats.
Polaris, with $5.4 billion in 2017 revenue, most recently paid $805 million for its acquisition of pontoon boat maker Boat Holdings in June.
In 2016, it paid $665 million to purchase Transamerican Auto Parts, a 76-store retail chain dedicated to jeep and truck accessories and retro-fittings.
In 2016, Polaris also bought Taylor-Dunn, a maker of commercial and industrial vehicles such as equipment and personnel carriers, electric carts and tow tractors. That company was founded in 1949.
Other purchases have included the Brammo electric motorcycle company as well as several riding gear and apparel makers.
Polaris' stock price fell 2 percent Thursday to close at $110.25.