Quanex Building Products Corporation has completed the acquisition of Edgetech in an USD 107.0 million all-cash transaction and the acquisition is expected to be accretive in year one.
Headquartered …
Quanex Building Products Corporation has completed the acquisition of Edgetech in an USD 107.0 million all-cash transaction and the acquisition is expected to be accretive in year one. Headquartered in Cambridge, Ohio, Edgetech has three manufacturing facilities (US/UK/Germany) that produce a full line of warm-edge, dual seal insulating glass spacer systems for window and door customers in North America and abroad. Edgetech“s products separate and seal double and triple pane glass within a window and further act as a thermal barrier that enhances the window“s energy efficiency. “I am pleased to announce our completed acquisition of Edgetech, a leading manufacturer of warm-edge insulating glass spacer systems for US and internationally based window and door customers,” said David Petratis, chairman and chief executive officer of Quanex. “Acquiring Edgetech not only strengthens our company and enhances our team, it complements our on-going efforts to provide our customers with the broadest range of high quality components, products, systems and services the fenestration industry has to offer. Acquiring Edgetech will allow us to better serve our growing base of large and regional customers and will further accelerate our international growth. Together, we will develop the next generation of energy efficient spacer systems.” “Our two companies have been working diligently since January to ensure a smooth integration of Edgetech into our Engineered Products segment. Integration is on-track and progressing well, which will ensure a seamless experience for our combined customer base. Quanex and its family of businesses remain committed to driving outstanding customer service in the fenestration industry,” said Petratis. “Excluding parent overhead allocation, Edgetech reported unaudited 2010 sales of USD 76 million, EBITDA of USD 12.2 million and operating income of USD 10.4 million. These amounts exclude expected synergies currently estimated at a high level to be USD 2-3 million, and without giving effect to the acquisition. Edgetech represents the type of acquisition we want to make as we seek to profitably grow Quanex while providing a compelling value proposition to our customers. We have a team working on synergy opportunities that will position Quanex and its brands as the leading fenestration component supplier in the industry by providing its customers with the highest quality products available, produced in the most efficient way possible,” Petratis concluded.