JB and New Age Caravans join forces

Two of Australia's biggest and best known caravan brands have joined forces, with JB Caravans announcing it has taken an equity stake in its Melbourne neighbour, New Age Caravans.

While the exact terms of the joint venture are undisclosed, it's believed JB has invested in a substantial (up to 50 per cent or more) slice of the New Age manufacturing business.

The multi-million dollar deal comes after the Walkinshaw Group assumed full control of New Age Caravans around five years ago, before experiencing a number of setbacks including prolonged production delays during the pandemic.

A statement issued yesterday shed some light on the agreement, stating that the integration of both manufacturing businesses will be finalized by the end of 2024. Both brands are set to continue, "but also combine where relevant", including the operation of separate manufacturing facilities and dealer sites located in Australia and New Zealand.

JB currently has 13 retail sites in total while New Age has 21 dealers, with the New Age production facilities in the Melbourne industrial suburb of Epping less than a 10 minutes' drive, or 5.5km, from JB's Campbellfield factory.

The combined group is set to become one of the largest manufacturers of caravans and RVs in Australia, with an estimated combined annual production as high as 3000 RVs or more; or less than half of Australia's biggest-selling RV builder, Jayco.

New Age currently manufactures a range of on- and off-road hardtop caravans, pop-tops and toy haulers in Melbourne, under the New Age and Coromal brand names, while JB recently expanded its range to include both Victorian and Queensland-built touring and off-grid caravans, hybrids and motorhomes; sold as JB, Traveller and Paradise models.

JB Caravans' Director Jie Bi (Alex) said the joint venture will not only allow JB to continue expanding, but "demonstrates our faith in Australian manufacturing" while allowing the 14-year-old business to "leverage many other manufacturing opportunities in other industries such as automotive”.

“We are excited to announce our future with New Age Caravans, we believe the combination of our expertise, skills, knowledge and resources will be a significant benchmark in the industry," he said.

“JB Caravans has a very similar design, product and manufacturing focus as New Age, so we see great synergies between the businesses, and are really excited for what we can achieve together in the future."

Walkinshaw Auto Group Director Ryan Walkinshaw said Walkinshaw had been in "strategic dialogue" with JB Caravans for a long time before inking the deal.

“In what is no doubt a rapidly changing industry, which has seen its fair share of challenges of late for all involved, today’s announcement ensures both businesses have the resources and strength to continue to grow, and we are all really excited to see what we can achieve together going forward," Walkinshaw said.

The JB deal is the latest in an ongoing shake-up at the Walkinshaw-owned Melbourne caravan manufacturing business following some pandemic-related issues, and follows a major revamp of New Age's Australian dealer network, and the recent decision to build caravans for other brands including Coromal at the New Age factory.

The Walkinshaw boss recently admitted that the goal of 'fault-free' auto-style production at the New Age factory was taking longer than expected, and while the automotive specialist has successfully rolled out a number of auto-inspired design and quality improvements across the New Age range, not all have hit the mark like the Walkinshaw-design Wayfinder camper trailer which was recently pulled from the range.

Aside from caravan manufacturing, Walkinshaw operates a number of businesses in Australia, including the Walkinshaw Automotive Group (WAG), Walkinshaw Performance, Walkinshaw Sports and the Walkinshaw Andretti United Supercars Team.

With demand for jumbo-size American pick-up trucks exploding in Australia, WAG recently started development on an all-new HQ and production facility in Dandenong, Victoria, which will allow it to expand the right-hand drive ‘remanufacturing’ programs it undertakes on behalf of some of the world’s biggest auto brands including RAM, Chevrolet and, soon, GMC and Toyota.

WAG employs more than 1200 people and most of them are employed to convert full-size US pick-ups led by the RAM 1500 and Chevrolet Silverado 1500.

The New Age deal is the latest in a number of RV-related investments made by the JB Group in recent times, which include breathing new life into Traveller Caravans and Paradise Motor Homes after both went into liquidation. JB Caravans started off in 2010 and after experiencing rapid growth, moved into its current large factory and retail facility in Melbourne's north in 2018.