Capstone Partners Sees Accelerating Momentum Ahead for Powersports M&A Activity Following Landmark Acquisition

Boston, MA – Capstone Partners, a leading middle market investment banking firm, anticipates acceleration in powersport dealership merger and acquisition (M&A) activity following the recent acquisition of Calculated Risk Motorcycle Group (“Calculated Risk”)—a management group operating six Harley-Davidson dealerships and two preowned motorcycle dealerships—by private holding company Navigant Oak LLC (“Navigant Oak”).

Capstone advised Calculated Risk on the transaction, representing one of the first dealership acquisitions by a financial buyer in the Harley-Davidson space, bucking a long-standing trend—and anticipates that the acquisition will spur other large powersports dealers to follow suit. Harley-Davidson has historically prevented family offices and private equity investors from acquiring dealership franchises, but recently the parent company has loosened ownership restrictions to help facilitate growth.

Capstone expects Harley-Davidson’s “Hardwire Strategic Plan” to expand dealership profitability and brand desirability, underpinned by increased motorcycle ridership, and improving dealership unit economics. Capstone believes M&A across the Harley-Davidson dealership network and overall powersports sector will remain strong near-term.

Capstone Senior Director Yogesh Punjabi commented, “We are honored to have advised and served Calculated Risk on a very important transaction, symbolizing both the investor interest and strong outlook for powersports dealerships. Adam Smith is an outstanding leader who built an exceptional business and culture at Calculated Risk. This culture combined with Navigant Oak’s resources and capabilities results in a powerful partnership, unlocking significant future growth opportunities for the company.”

“The Capstone team was our ideal partner. They ran a highly professional and customized sale process and were committed to achieving a successful outcome for the owners and our team members. Their consistent guidance, capabilities, and sector expertise significantly contributed to a successful transaction with the perfect partner,” said Adam Smith, Founder and President of Calculated Risk.

Learn more about the transaction here.

ABOUT CALCULATED RISK MANAGEMENT GROUP

Calculated Risk owns and manages six Harley-Davidson dealerships and two preowned motorcycle dealerships. Locations include Texas Harley Davidson—the largest Harley Davidson dealership in the state of Texas. The company also offers comprehensive dealership consulting, real estate investment and development expertise, and talent development services. For more information, please visit www.calculatedrisk.com.

ABOUT NAVIGANT OAK LLC.

Navigant Oak, LLC (NavOak) is a private holding company for a southeast Michigan family’s portfolio of businesses and investments. The company actively pursues new acquisitions where it seeks to make control and non-control equity investments. NavOak’s flexible approach, patient capital, and desire to maintain what’s worked in the past often complements family- and founder-owned businesses. NavOak’s primary goal is to enable growth in its autonomous companies by offering the resources for long-term success. For more information, please visit www.navoak.com.

ABOUT CAPSTONE PARTNERS

Capstone Partners is one of the largest independently owned investment banking firms in the United States. For over 20 years, the firm has been a trusted advisor to leading middle market companies, offering a fully integrated range of expert investment banking and financial advisory services uniquely tailored to help owners, investors, and creditors through each stage of the company’s lifecycle. Capstone’s services include M&A advisory, debt and equity placement, corporate restructuring, special situations, valuation and fairness opinions, and financial advisory services. Headquartered in Boston, the firm has 175+ professionals across the U.S. and an international presence including over 450 professionals in 43 countries. With 12 dedicated industry groups, Capstone delivers sector-specific expertise through large, cross-functional teams on a global basis. For more information, visit www.capstonepartners.com.

FOR MORE INFORMATION CONTACT:

Yogesh Punjabi
Senior Director
Vehicle Aftermarket Investment Banking
207-409-9653
ypunjabi@capstonepartners.com

James Chamberlain
Vice President
Vehicle Aftermarket Investment Banking
303-710-6913
jchamberlain@capstonepartners.com

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