If you’ve ever dreamed of owning your military vehicle manufacturing company, here’s your chance. HUMVEE maker AM General has hired an investment bank to seek out potential bidders for the South Bend, IN – based company, according to Reuters.
Until HUMMER was shut down, AM General produced the H2 for General Motors. The H2 assembly plant was later used to make the MV-1 from Vehicle Production Group and the Mercedes R Class. In 2017, AM General sold the commercial assembly plant to SF Motors, a California-based electric vehicle company.
After a few quiet years, AM General had several major announcement in 2018. In February, there was a relatively small, $12M deal for 60 HUMVEES. In June, AM General introduced a new, tougher HUMVEE with updated technology. But the biggest news came two weeks ago, when AM General announced a $560M deal to produce up to 2,800 HUMVEE Ambulances.
Closing the largest deal in years likely spurred AM General’s private equity owners to seek a profitable exit sooner rather than later. The military truck landscape has changed dramatically over the last 40 years, and AM General isn’t as dominant as they once were.