Exterior products manufacturer Ply Gem today announced it acquired Simonton Windows from Fortune Brands for $130 million. The transaction, which is expected to be approved and finalized in October, roughly totals 10 times Simonton's 2014 EBITDA, and equals more than a third of the window and door manufacturer's annual revenues of $300 million. Read the report in ProSales.
According to Plastics News, Ply Gem plans to operate Simonton Windows as a stand-alone business unit and keep its management team in place after the deal closes.
The News & Observer reports that earlier this month, Ply Gem reported its net had sales increased 11% in the second quarter $409.2 million. That was above the $406 million that was the consensus among analysts who cover the company, according to Bloomberg. Ply Gem shares closed Wednesday at $10.09, up 20 cents. The stock is down 44% this year.
Ply Gem is not the only building products company to add a windowmaker to its stable of building materials. Sierra Pacific Industries (SPI), a family owned forest products based in Anderson, Calif., completed its purchase of HWD Acquisitions Inc., which makes Hurd and Superseal windows and doors. Read more