Who Owns Generac Company?

Who Owns Generac Holdings Inc.?

Generac Holdings Inc., a prominent global designer and manufacturer of power generation equipment, has a dynamic ownership history. Understanding its stakeholders is key to comprehending its strategic path and market standing.

The company's journey includes a significant shift from private ownership to a publicly traded entity, influencing its governance and investor base.

Who owns Generac Holdings Inc.?

Generac Power Systems traces its origins back to 1959, founded by engineer Robert Kern. Starting with a modest team of five in a garage in Wales, Wisconsin, the company initially focused on manufacturing portable generators, notably for Sears under the Craftsman brand. Kern's vision drove product development, leading to the creation of new markets for generator and engine technologies.

Founder's Vision

Robert Kern, an engineer, founded Generac with a strong emphasis on product development. His dedication laid the groundwork for innovation in generator technology.

Early Operations

The company began with a small team and operated out of a garage. Early success was marked by a significant manufacturing agreement with Sears, Roebuck and Co.

Founder-Centric Ownership

For nearly five decades, Robert Kern maintained sole ownership of Generac. This founder-centric model guided the company through its formative years and expansion.

Early Strategic Sale

In 1998, Generac's portable products division was sold to The Beacon Group, a private equity firm. This marked an early instance of external investment influencing the company's structure.

Significant Ownership Change

In late 2006, Robert Kern sold Generac to CCMP Capital, a New York-based private equity firm. This transaction allowed Kern to pursue philanthropic interests.

Employee Benefit Sharing

Following the sale to CCMP Capital, Robert Kern and his wife shared the proceeds with employees. Some employees received up to $40,000 based on their tenure with the company.

Robert Kern's ownership of Generac Power Systems was singular for approximately fifty years, indicating a period of consistent, founder-driven strategy. There is no public record of early external investors or significant angel funding during the company's initial establishment. The first major shift in ownership occurred when the portable products division was sold to The Beacon Group in 1998. This was followed by the more substantial sale of the entire company to CCMP Capital in late 2006. This transition marked a significant change in Generac's corporate structure and ownership, moving from a privately held, founder-controlled entity to one under private equity management. Understanding this history is crucial for grasping Generac's Growth Strategy of Generac.

Key Ownership Milestones

Generac's ownership journey transitioned from a sole founder to private equity involvement, shaping its corporate trajectory.

• Founded by Robert Kern in 1959.
• Founder-centric ownership for nearly 50 years.
• Portable products division sold to The Beacon Group in 1998.
• Entire company sold to CCMP Capital in late 2006.
• Proceeds from the 2006 sale were shared with employees.

Generac's ownership journey saw a significant transition in late 2006 with its acquisition by CCMP Capital and Unitas Capital affiliates, moving from founder control to private equity. This was followed by a pivotal moment on February 11, 2010, when Generac Holdings Inc. became a publicly traded entity on the New York Stock Exchange.

Following its Initial Public Offering, Generac Holdings Inc. transitioned from private equity ownership to a publicly traded company, broadening its investor base and capital access. This move facilitated strategic growth and acquisitions, aligning with its ambition to be a leader in energy technology solutions. Understanding the Revenue Streams & Business Model of Generac provides further context on the company's operational strategy.

Generac's Major Institutional Shareholders

As of March 31, 2025, Generac's ownership is predominantly held by institutional investors, reflecting its status as a publicly traded company. These entities play a crucial role in the company's corporate structure and strategic direction.

• Vanguard Group Inc. holds 11.76% of Generac's shares.
• BlackRock Inc. owns 9.22% of the outstanding stock.
• Capital Research Global Investors is another significant holder with 5.89%.
• State Street Corp. maintains a stake of 4.54%.
• T. Rowe Price Associates Inc. holds 3.49% of the company's shares.

The governance of Generac Holdings Inc. is managed by its Board of Directors, comprising independent members and individuals with extensive business backgrounds. As of the 2024 proxy statement, key figures include Aaron Jagdfeld, the President and CEO, and David A. McQuesten, the Chairman of the Board, alongside independent directors such as Thomas J. Marrie and Ann M. Fandozzi.

Generac operates under a straightforward one-share-one-vote system for its common stock, meaning voting power directly correlates with share ownership among public shareholders. While the company's initial public offering in 2010 involved different classes of stock, the currently traded shares are common stock. The company's 2019 Equity Incentive Plan was updated at the June 13, 2024 annual meeting, increasing the share pool by 3,900,000 shares and extending its term to 2034. There have been no significant proxy battles or activist investor campaigns reported for the 2024-2025 period, indicating a stable corporate governance structure. Understanding Generac ownership involves looking at these board structures and shareholder rights, as detailed in our Brief History of Generac.

Generac's Shareholder Structure

Generac Holdings Inc. follows a standard corporate governance model with a focus on shareholder rights. The company's voting power is distributed based on common stock ownership.

• One-share-one-vote principle
• Common stock is publicly traded
• Board of Directors oversees company strategy
• No dual-class share structure for public shareholders

Over the past few years, Generac Holdings Inc. has been actively refining its ownership structure and strategic focus, notably expanding its energy technology solutions. This period has seen significant acquisitions and investments aimed at broadening its market presence and technological capabilities.

Generac has also demonstrated a commitment to returning value to its shareholders through robust share repurchase programs. In February 2024, the company authorized up to $500 million in repurchases. By the end of 2024, approximately $153 million had been used to buy back 1.05 million shares, leaving $347 million available. Further repurchases occurred in the second quarter of 2025, with $50.46 million spent on 392,521 shares, leaving approximately $200 million remaining on the authorization as of June 30, 2025. Leadership has remained consistent, with Aaron Jagdfeld serving as CEO since 2008. The company experienced the loss of its founder, Robert Kern, in November 2022. Industry trends indicate a strategic shift for Generac, moving beyond its core generator manufacturing to become a comprehensive energy technology solutions provider. This includes a growing emphasis on residential solar, energy storage, and targeting the data center market for large generators. The company anticipates modest but steady revenue growth, projecting an increase from $4.29 billion in 2024 to $4.82 billion by 2027. For the full year 2025, net sales growth is guided to be between 2% and 5%.

Strategic Acquisitions in Energy Technology

Generac's recent acquisitions of Ageto and PowerPlay Battery Energy Storage Systems highlight its strategic expansion into microgrid controllers and C&I battery storage solutions.

Shareholder Value Initiatives

The company has actively engaged in share buyback programs, returning significant capital to shareholders and demonstrating confidence in its financial outlook.

Evolution to Energy Solutions Provider

Generac is transitioning from a generator manufacturer to a broader energy technology company, with a focus on residential solar, energy storage, and data center solutions.

Financial Outlook and Growth Projections

The company projects steady revenue growth, with net sales expected to increase from $4.29 billion in 2024 to $4.82 billion by 2027, and a 2% to 5% net sales growth guidance for 2025.