Minneapolis businessman Irwin Jacobs said Thursday that he's reached a deal with a private equity firm to buy back three boat brands and the huge factory in Little Falls, Minn., where they're produced.
Jacobs is the former CEO of Genmar Holdings, which owned an array of boat assets, including the Larson, Seaswirl and FinCraft brands, but filed for bankruptcy in June and was forced to auction them off earlier this month.
California-based Platinum Equity successfully bid $70 million for the Little Falls operation and the bulk of Genmar's holdings that included 13 brands. Platinum will keep the Ranger, Glastron and FourWinns brands.
Jacobs said that he was "cautiously optimistic" that about 200 to 300 people could be called back to work in Little Falls in the next several months. Five public and private organizations, including the city of Little Falls, have proposed a package of low-interest loans to assist Jacobs with the asset purchase.
J & D Acquisitions will do the deal with Platinum, and that partnership consists of Jacobs Trading Co., a closeout wholesaler, and John Paul DeJoria, who is widely known for his involvement in John Paul Mitchell hair care products.
"Until the transaction closes, we are just not going to comment on any aspect of the deal," Platinum spokesman Mark Barnhill said Thursday. Jacobs said he anticipates the deal will close at the end of next week. Terms were not disclosed.
Jacobs, 68, said: "I spent half of my life with that [Little Falls] company. I want to see it once again be what it was at its best."
Job losses have ripple effect