Fox Factory Holding Corp. (
NASDAQ: FOXF) (“FOX”). today announced, that through certain of its subsidiaries, it has entered into a definitive agreement to acquire certain specified assets of Marzocchi's mountain bike product lines. The Marzocchi business designs and manufactures motor bike and mountain bike suspension products. FOX expects the transaction to close in Q4 2015 and it is subject to customary closing conditions and is not expected to have a material impact on its anticipated financial results in either fiscal 2015 or 2016.
"
We are excited to announce the agreement to acquire certain assets of the Marzocchi mountain bike product lines, which we believe is a significant opportunity for FOX to further expand the penetration of our bike suspension products across more price points," stated
Larry L. Enterline, FOX's Chief Executive Officer. "
The Marzocchi team has a long history of performance suspension experience and we believe that this highly complementary transaction will allow for the increased growth of the Marzocchi brand worldwide. We expect this transaction will bring together and strengthen two highly complementary product lines and allow for FOX to leverage its marketing, engineering, distribution, and supply chain resources to drive increased top-line growth and profitability."
FOX expects to report fiscal third quarter 2015 earnings results in early November and plans to provide additional financial and transactional details at that time.
About Fox Factory Holding Corp. (FOXF)Headquartered in Scotts Valley, CA, FOX designs and manufactures high-performance ride dynamics products primarily for bicycles, side-by-side vehicles, on-road and off-road vehicles and trucks, all-terrain vehicles, snowmobiles, specialty vehicles and applications, and motorcycles. For more than three decades, FOX's team of enthusiasts and professional athletes has been improving vehicle performance through a unique commitment to redefining ride dynamics.
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.
Complete release from Yahoo Finance here.
MENTIONS: @foxracingshox /
@MarzocchiMTB
Remember what the Bomber series for to mountainbiking?
Now imagine it re-introduced as OEM on a new breed of slack-ish fun entry level/mid range hardtails. It could make real trail bikes afforable-ish again and do wonders for the sport.
Optimistic outlook, but it has potential.
i do not think it is about learning from each other - i agree on
@southoftheborder opinion
looking at the patents marzo is owning
patents.justia.com/inventor/paolo-marzocchi
it is a very good business move to aquire (get them for pennies) and drag those patents away from rock shox, shimano etc..
hopefully fox will bring back the marzo/fox girls ;-)
cdn.coresites.factorymedia.com/dirt_new/wp-content/uploads/2014/06/Marzocchi-Bomber-Forks-5.jpg
There is no profit to ruin a leaning company like Marzocchi brand!
Fox will only have a benefit over the patents i guess and some of the assets the the company left over... I'm quite amazed to hear that and i believe Fox will keep our fav brand on the market and will continue to improve the quality of both. So far i believe the 888's, and the new 380 line are one of the best DH forks on the market, consider, low maintenance needs, covered by lot of settings and futures, solid chassis, and durability
Service intervals that people whine about with Fox astound me. It's a 20 minute job once a month if you ride every day. Rock Shox once every two weeks. It ain't hard.
I've ridden all the top spec DH forks this year except the Emerald. By far the best of the bunch is the 380 C2R2 Ti. With the 6.5 spring it's fantastic with excellent high and low speed compression adjustment. It's similar weight to the air forks on the market and offers unmatched small bump compliance.
Having ridden a bunch of different products I chose to buy a 350 and 380 and couldn't be happier.
That's utter bullshit... it's no competition because they own BOTH now... so revenues of both end up at their feet.
VW owns Audi and they are pretty much in direct competition at least in some car-classes.
Also Audi and Lamborghini, again both VW owned, are direct competitors with their super cars.
/edit: chrisingrassia & freestylAM were faster than me, haha.
from another article
But looking at your props it's obviously enough to impress the dear pinkbikers.
There will be a crossover of technologies as with all these mergers and acquisitions, sometimes this can be a good thing, I guess we all hold our breath and see where it all ends up, as an owner of both products Zocchi and Fox I hope both bring something to the table as long as we MTB'ers benefit the most from it in terms of performance and quality.
Porsche AG is owned by Volkswagen AG. But Porsche automobil holding SE is majority owner of Volkswagen AG. Basically it's a fancy pants way of saying that Porsche owns Volkswagen. Sorry to burst your little bubble pal, but that's the facts. My father is very involved in the high end of this business, he knows what's up. Sometimes things aren't what they seem.
Then again, the fact that marzocchi is being sold off tells us that its hold in the market has gone down tremendously. I doubt such a prestigious name in racing would sell a company that is making money. Even before I've noticed that the rockshox, and fox adverts when it comes to suspension tends to overwhelm in various mtb related websites than those of marzocchi.
Forget about this,Fox kill this company(rules of market)
I guess it just depends on which part you read......
It's written pretty clearly in the press release. They want an established brand to enter the performance suspension market without risking their name like they already did with the Evolution line and O/C cartridges.
"The newer 350's and 380's are top dollar forks, if not some of the best atm."
Pot calling the kettle black there champ.
Can imagine a fox 36 RC3 V2 ti tho haha
My hopes:
That fox helps to embrace the buttery goodness of what made Marzocchi such a beloved brand in the FR and DH world.
Keep the feel of fox unique to that of how Marzocchi suspension rides and feels for both front and rear.
People who love the overall ride of Fox will stay on that page, then OG riders who know how good Marzocchi used to be when the FR scene was overpowering the market will always love that soft plush butter ride with a deep progressive bottomless stroke.
If they can keep this distinction, there will be a huge following of riders searching for what works with functionality prevailing over marketing gimmicking and funky naming alluring riders from easy to understand terminology.
Marzocchi will be losing its Italian roots and long history but as Im half Italian and was born in America, l can only think of new innovations on a positive note!
RideOn!
Marzocchi will became pretty much a budget brand.
Hope not. I still remember the first bombers prototype in 93 or so... it changed everything. Still run my z2 from 97, way better than any air fork under $300
We are excited to announce the agreement to acquire certain assets of the Marzocchi mountain bike product lines, which we believe is a significant opportunity for FOX to further expand the penetration of our bike suspension products across more price points,
"
Do they mean to say that they're planning to use the Marzocchi brand for lower end stuff and kill the top end Marzocchi products? I don't expect open bath forks under the Fox brand. Not sure what to think of this. Glad to see them continue in a way but sad that they're not competitive anymore.
I wonder how this will affect my warranty with my 380 and 350's?
There either gonna kill it Which I doubt.
Or just keep it as it is so like people have said, if you don't want a 40 that's fine have a 888 instead . It's win win only way they loose is if you Buy rockshox.
Never know they may find the patent to stop there 40s rattling like a bag of spanners.
Probably why they have gone all air now...
Mars will resurrect but expect to see the price line increase based on the FOX market model. That was Mars down fall. Name exposure was not the same as the FOX icon in the industry. MTN biking has just turned a page to become a notch higher in pricing than it was. Just keep staring down into your phones and walk with the rest of the sheep, hand over the credit card and say thankyou...
ON the bright side, at least their will be a parts bin to rebuild all those forks, for just more!
I don't think they will make spare parts again for these beauties.
if fox causes Marzocchi to be a mid-low end company - everyone will keep hating fox
Brendan Fairclough: ... uh
Larry L: We are continuing the heritage theme over
Sad day... definitely a sad day.
1-Paint it gold.................
2-increase prices...............
3-watch sales pour in
TITANIUM SPRING 888 K7,7 EXTRA HEAVY - +90 pcs in stock at Marzocchi headquater.
I don't think I'd be able to help myself.
My guess they acquired patents.
You can bet there are some pretty heavy corporate negotiations that take place when a bike manufacturer is selecting an OEM vendor. Fox would be down right stupid to walk in and bump their OEM supply by a 20% markup. Why? Because Rock Shox is hungry. So is Suntour. And Manitou. They all want a seat at the table. And if the Big Red S can slap a Pike on your enduro for 20% less than a 34 and sell it for the same price, that's what they are going to do.
Bikes are a business as much as we don't like to admit it.
Suntour makes all its money in OEM suspension and some drivetrain stuff, and Fox knows that players like Suntour and Manitou are becoming a legitimate threat in the mid-level and high-end, where they live. Fox looks to be making the opposite play here, trying to grow their OEM business by using Marz as a bargain brand.