IGY Marinas founder aims to buy IGY from MarineMax. Andrew L. Farkas, the founder and former Island Global Yachting (IGY) chairperson, is proposing a significant move. He aims to acquire up to a 100% interest in MarineMax’s YMRS Business, which includes Fraser Yachts, Northrop & Johnson, and IGY Marinas. Farkas sold IGY to MarineMax in 2022. In a public letter addressed to MarineMax’s shareholders on behalf of Farkas’ Island Capital Group (ICG), Farkas shared that he believed in the “synergy benefits to the combination of IGY and MarineMax’s yachting and marina-related services businesses, including Fraser Yachts and Northrop & Johnson” when he sold the company. He believed IGY would thrive under MarineMax but now says it has not. In the letter, Farkas outlines why: MarineMax had twice adjusted its 2024 EBITDA and EPS, plus it had adjusted EBITDA down a total of 27% and adjusted EPS down a total of 43% compared to its initial guidance for the year. He also wrote that IGY did not acquire new assets, which put its competitive advantages at risk, and there were no new IGY growth initiatives. He also cited Tom Mukamal’s departure from IGY in 2023. “Based on publicly available information, we believe that this portfolio of assets is not adequately valued by the public market and thus has added no value to you as shareholders,” Farkas wrote. “We propose acquiring the YMRS assets at double-digit EBITDA valuation multiple, while the Company currently trades within a five- to six-times multiple range. Thus, our proposal could unlock significant value for shareholders.” Farkas argues that acquiring IGY has not meaningfully benefited MarineMax’s valuation. He says ICG is willing to acquire less than 100% of the YMRS Business but not less than 75%. IGY Marinas has 28 marinas around the globe, including IGY Yacht Haven Grande Miami at Island Gardens. Want more? Read Triton’s latest issue.