Thor Industries CEO Bob Martin on Monday instructed CNBC that the corporate is seeking to develop new merchandise and broaden its enterprise after buying Tiffin Motorhomes in a $300 million deal.

The acquisition offers Thor, a leisure automobile maker based mostly in Indiana, a producer of high-end motorhomes based mostly in Alabama that introduced in $800 million in RV gross sales within the 2020 fiscal 12 months.

Thor reported $8.17 billion of income in fiscal 2020, up about 20% from $6.77 billion recorded the 12 months prior.

“We’re at all times an opportunistic purchaser, and Tiffin is certainly one of these firms that is 48 years outdated, has an unimaginable model, an important number of merchandise, however truly a number of merchandise which have but to come back that we predict we can assist them develop,” Martin stated in a “Mad Money” interview.

The acquisition offers Thor publicity to the American South exterior of the tight labor market in northern Indiana, stated Martin, who sees room for enlargement in Alabama and neighboring Mississippi “for a few years to come back.” Thor’s portfolio consists of producers in Indiana and Ohio.

Tiffin, a family-owned enterprise, will proceed to headed by the household and retain its identify as an entity underneath Thor. The corporate produces a number of motorhomes, together with Allegro Breeze, Allegro Purple, Allegro Bus and Zephyr amongst different merchandise.

“Tiffin is a type of premium manufacturers that when Mr. Tiffin known as, we undoubtedly needed to discuss, it doesn’t matter what,” Martin stated.

Shares of Thor Industries rose greater than 4% on Monday, closing at $99.92. The inventory is up greater than 34% 12 months to this point.