Cavco Industries Announces Planned Acquisition of Manufactured Home Builder and Retailer, American Homestar Corporation

Cavco Industries, Inc. (“Cavco” or the “Company”) announced that it has entered into a definitive agreement to acquire American Homestar Corporation and its subsidiaries (collectively, “American Homestar”), a Houston-based company best known in the market as Oak Creek Homes. American Homestar operates two manufacturing facilities, nineteen retail locations, writes and sells a limited number of manufactured home loans and acts as an agent for third party insurers. With 800 employees, revenues for the twelve months ended May 31, 2025 were $194 million, net income was $16.6 million and earnings before interest, taxes, depreciation, amortization, and other income (“Adjusted EBITDA”) (non-GAAP)* was $17.8 million.

During that time, American Homestar produced 1,676 homes. Cavco will acquire American Homestar for $190 million in cash, subject to customary purchase price adjustments. The acquisition is intended to be funded entirely from the Company’s cash on hand and is expected to close in the Company’s third quarter of fiscal year 2026, subject to applicable regulatory approvals and the satisfaction of certain customary closing conditions.

Cavco’s President and CEO Bill Boor said, “Throughout the acquisition process, we developed a tremendous respect for what Buck Teeter, Dwayne Teeter, and the entire American Homestar team have built. For decades, they guided the company through industry downturns and challenges, consistently adapting and ultimately thriving. American Homestar is a leader in our industry because it embodies the Teeters’ values and focus on providing quality homes for deserving families. We at Cavco are grateful for their trust and are excited to join forces in the South Central U.S.”

American Homestar’s President and CEO Dwayne Teeter commented, “Founded by my father, Buck Teeter, in 1971, American Homestar focused on providing high-quality, affordable housing while also fostering a stable and rewarding work environment for its employees. As we enter this exciting new alliance with Cavco, we know this combination is a perfect cultural fit and that our people will be part of a dynamic, growing company, well positioned to compete in an ever-changing environment. We thank Bill Boor and the entire Cavco team for their interest in American Homestar and their commitment to making this transaction happen.”

Highlights of the proposed transaction:

• Financial Impact: Cavco expects this proposed acquisition to be accretive to earnings and cash
  flow from operations
• Potential for operational and cost synergies: In addition to implementation of shared best
  practices, the acquisition provides the opportunity for meaningful cost, purchasing and product
  optimization synergies
• Strengthens Cavco’s Position in the South-Central U.S.: Expands Cavco’s presence across
  Texas and surrounding states, one of the country’s most important manufactured housing
  markets
• Capital Allocation: Following this strategic deployment of existing cash, Cavco will still maintain a
  significant cash position available for continued strategic investment

TN Capital Advisors LLC acted as exclusive financial advisor and DLA Piper served as legal advisor
to Cavco for the transaction. Jackson Walker, LLP was legal advisor to American Homestar.

About Cavco

Cavco Industries, Inc., headquartered in Phoenix, Arizona, designs and produces factory-built housing products primarily distributed through a network of independent and Company-owned retailers. We are one of the largest producers of manufactured and modular homes in the United States, based on reported wholesale shipments. Our products are marketed under a variety of brand names including Cavco, Fleetwood, Palm Harbor, Nationwide, Fairmont, Friendship, Chariot Eagle, Destiny, Commodore, Colony, Pennwest, R-Anell, Manorwood, MidCountry and Solitaire. We are also a leading producer of park model RVs, vacation cabins and factory-built commercial structures. Cavco’s finance subsidiary, CountryPlace Mortgage, is an approved Fannie Mae and Freddie Mac seller/servicer and a Ginnie Mae mortgage-backed securities issuer that offers conforming mortgages, non-conforming mortgages and home-only loans to purchasers of factory-built homes. Our insurance subsidiary, Standard Casualty, provides property and casualty insurance to owners of manufactured homes.

Contact:

Mark Fusler – Corporate Controller & Investor Relations – investor_relations@cavco.com – (602) 256-6263

Source: Cavco Industries, Inc.