Is Lazydays toast?

[NXR]

As in stick a fork in it?

Their stock price, GORV, peaked at $24.98 on August 27, 2021 and closed on Friday at 79 cents per share.

They recently announced they were selling about 1/3rd of their locations to Camping World.

Lazydays just finished a stock rights offering where they offer to sell stock to existing shareholders: https://rvbusiness.com/lazydays-hold...ghts-offering/

They only issued 35,882 shares at $1.03 per share, a WTH price given that it dropped below $1 in December. From that article:

The company received approximately $36,958.46 in gross proceeds from the Rights Offering. As further described in the registration statement and prospectus for the Rights Offering, the Company expects to use the proceeds from the Rights Offering for working capital and general corporate purposes, including repayment of indebtedness.

I had to read that a few times. Yeah, they did all of the paperwork and legal work to generate enough cash to buy just one low-cost used travel trailer, maybe this one, but with no fees or tax: https://www.lazydays.com/rvs/tampa-f...flx-consign882

I don't think that less than $37,000 will go far to reduce their indebtedness or provide working capital, especially since that was the gross amount and they had costs to do that offering.

This is really sad for all of their employees, the ones that are left, and the industry in general since they were supposed to be the largest RV dealer in the country. It looks like Blue Compass now has more employees.

Not good.

Ray

[8.3Oilbuner]

Hi Ray; Would not surprise me if you are correct. About 10+ years ago we were in Tuscon and Lazydays had a coach in stock that I wanted to show my wife what it looked like in person. I asked if I could just look at the coach and we were put in a salesmen office for 20 minutes of waiting and then subjected to high pressure sales to make a commitment to buy the coach even before we could look at it. I had seen the coach online and after all that crap, at the end when I walked out, they told me they had sold the coach. There are probably good people working there and hate to see them lose their jobs, but those type of sales tactics don't fly very well in my view. After that, never stepped on their lot again!

[d23haynes57]

I remember back when they were first opening the Tampa location was like a destination to go shopping and exploring RVs; Sales and finance gimmicks were a turn off for me and while I explored the two motorhomes I purchased new, I ended up ordering and purchasing them from Giant RV in California due to the price difference. Thier quest for growth, expansion and seeking market share I guess did them in. For the most part them and Camping World are mostly selling stuff based on low monthly payments. Nothing in the higher end or luxury market. Mostly selling to entry level and the inexperienced market. It is unfortunate.

[boomersooner]

Went to LD twice in Tampa. 2nd time we were serious buyers but I knew I would not buy from them. I was in the area and wanted to look at 2 Class A RV's that I knew they had in stock. I had no issues with the sales guy, no pressure. I told him what I wanted to see, he looked them up, and away we went in the golf cart. I let him bid on my business but he was about $23k over what I ended up paying (ordered versus buying on the lot).

[David 70]

Is Camping World buying up these places, then shutting them down in 3-4 years just to get rid of competition? I'm not talking just Lazy Days. One they bought around here was closed up after about 4 years and the big lot stands empty.

[Spdracr39]

This thread is about Lazydays not Camping World. Please stay on topic.

[oldenavy]

Went to LD in Knoxville last year. They had a couple of coaches in stock that we were interested in. Called ahead and made an appointment to make sure the ones that we saw online were still available and we wouldn’t be kept waiting.

Arrived and asked for the salesman we had the appointment with. He was off that say, so the front desk tried to get someone else. Took 25 minutes to get an available sales person. He showed us a couple of used ones near the office but we had to golf cart to their new storage facility to see the new one we wanted to see. Got there, it’s all closed up for travel. We take a quick look through and asked about opening the slides and he says he can’t do that. He has another appointment and can either leave us there alone (almost a mile from our car), or we have to leave now. We go back to the office with him and he hands us off to another sales person who then wants to know how he can earn our business today! We left just shaking our heads. A couple of days later we get a call from the original person who we were supposed to see asking when we’ll be back to close the deal on the coach we looked at.

I’ve never seen such ineptitude in the sales business. It’s not surprising that they are having financial problems.

[darrellr]

Originally Posted by Spdracr39

This thread is about Lazydays not Camping World. Please stay on topic.

Camping World is literally in the first post, though. ??

[Donskiman]

We've been to two Lazydays locations in Colorado and never had any issues with salespeople. We walked around the huge indoor showroom at one location and were able to compare two models from different manufacturers side by side, plus another one on the other side of the showroom. We were able to walk around outside and go inside several coaches, all without being accompanied by a salesperson. The whole experience helped us narrow down exactly what we wanted to buy. Since we wanted a used model, none of what they had in their inventory had all the features we wanted. However, we would have bought from them if they had what we wanted.

We also rented from them a couple times when they were still doing rentals.

Never had any issues. We haven't been to either location since we bought our Tiffin, mostly because the locations are hours away. Both locations always seemed to have a decent inventory of Tiffin motorhomes.

[NXR]

Originally Posted by darrellr

Camping World is literally in the first post, though. ??

Yes, however I simply mentioned the name of the company that was buying a third of the Lazydays locations. I probably should have left their name out of the post since they are a bit of a flashpoint for people.


As an aside, we talked to Lazydays reps at Tampa in 2020 and I mentioned how many RV's were there, some 1,500 supposedly. The rep laughed and said we needed to visit their Seffner location because they had more on their lot. Probably not so much anymore.

I know Forest River had a Class A rep on site at Seffner to assiss customers with service and other questions. The FR person told me it was because Lazydays sold so many of their coaches. I don't know if there is any FR tech rep still located there.


The RV manufacturers may need to make a decision on how they sell their products if they want to stay in business. Their true customers are the dealerships, not the end purchaser, and the manufacturers have no real control over how a dealership operates, as we all know...

If there is an abrupt shutdown of a large dealer that is going to cause the manufacturers a lot of problems, and anyone with an RV in for service may end up dealing with a court to get their property back.


Back in school we learned about the U-shaped marketing curve. Low-end, low cost products were profitable. The example was the Bic pen.

High-end, high cost products were profitable because there will always be people with money, even in the Great Depression, just not a lot of them. I think the example was Cross pens (remember them?)

But the companies on the downslope of either side of that U-shaped curve did not do well.

Nowadays it seems the lower-cost travel trailers and similarly-sized RV's are still selling, sort of, as are high-end custom-ordered coaches.

The middle-of-the-road product RV manufacturers may be really struggling to continue. You know, the 21st Century Buggy Whip Manufacturers. And us 21st Century Buggy Drivers.

Ray

[Gary RVRoamer]

Lazy Days is nothing like the company it was before the venture capitalists took over. Customer service went out the window and sales volume became the only measure of success. Then they started buying dealerships all over the country and staffed them with whatever folks they could find, whether sales or tech or management. Another sad case where a reputable company got run into the ground in the name of instant high cash flow so the money people could make a quick killing.

[Paul_D]

The result: 12 Feb 2025
"The company received approximately $36,958.46 in gross proceeds from the Rights Offering."


Their plan announced Nov 15 2024

"We plan to launch a $25 million rights offering at $1.03 per share, allowing all our common stockholders (other than the PIPE Investors and Camping World) to purchase common stock at the same price as PIPE Investors, subject to the U.S. Securities and Exchange Commission declaring a registration statement on Form S-1 effective."

[NXR]

Originally Posted by Gary RVRoamer

Lazy Days is nothing like the company it was before the venture capitalists took over. Customer service went out the window and sales volume became the only measure of success. Then they started buying dealerships all over the country and staffed them with whatever folks they could find, whether sales or tech or management. Another sad case where a reputable company got run into the ground in the name of instant high cash flow so the money people could make a quick killing.

Even five years ago Lazydays was commented upon as one of the best service facilities and very customer-focused by many people. Not no more.

This article seems to say they were owned by an investment fund and sold to another in 2018: https://www.tampabay.com/news/busine...ion_162146108/

This company bought almost 1.5 million shares of Lazydays Holdings at $1.50 in November 2024 for who knows what reason: https://rv-pro.com/news/park-west-as...e-in-lazydays/

Their SEC filing this month says they now own about 11 million shares, I think.

Either those folks know something I don't, and my investment return history suggests they do , or they have plans for other things like the land.


Heck, the old Red Coconut campground on Fort Myers Beach sold for $52 million after it was wiped out by Hurricane Ian and that was only 10 acres.

I don't know how large the now-closed Lazydays campground was but it had about 300 sites and seemed to be well-liked.

300 sites at $2,000 a month (or whatever they charged for Jan-Feb-March) would be close to $2 million in cash flow.

Yelp shows the campground is reopening on January 1, 2026 but there is nary a mention of the campground on their web site that I could find.


Pics are from their front page banner. Could be a buyer's market again, maybe. But it feels more like a fire sale.

Ray

[Paul_D]

If they went bust, what would the RV market look like with an auction that size?