MIDDLEBURY –– Coachmen Industries Inc., announced Friday that it has entered into an agreement with Forest River for that company to purchase Coachmen’s recreational vehicle business.

“Forest River will acquire most of the assets of Coachmen’s RV Business, including our brands, our product lines, our central manufacturing operations in Middlebury, Ind., and our dealership in Elkhart, Ind.,” said Richard Lavers, chief executive of Coachmen Industries, in a prepared statement.

“For 44 years, Coachmen has been a leading and respected RV brand, employing thousands of dedicated and talented people in the communities where we have operated,” Lavers said.

“Forest River is one of the largest and most profitable companies in the RV industry.

“The synergies of these two combined RV businesses are tremendous.”

Lavers said Forest River has agreed to offer continued employment to almost 85 percent of Coachmen’s RV Group employees in Indiana.

“Some will be able to interview with Forest River to explore career opportunities,” Lavers added. “Others will be transferred to the continuing operations of Coachmen Industries, Inc.”

“Our company will emerge from this transaction as a systems-built housing company with a growing specialty vehicle business,” Lavers said. “The ARBOC Mobility bus previously unveiled this year will remain with Coachmen Industries. Our headquarters will remain in the Middlebury/Elkhart area.

“We will be financially sound with sufficient cash liquidity to not just survive, but to build our profitable housing businesses and continue our diversification into the bus and specialty vehicle transportation industries.”

Lavers said details of this transaction will be released later. The transaction is subject to shareholder approval, which the company expects to seek in December.

The board of directors of Coachmen Industries, Inc. has set Tuesday as the record date for the special shareholder meeting.

“There is still much to be done, but we look forward to a long and bright future for both these fine companies,” Lavers said.