RELATED MATERIALS TO BE ACQUIRED BY SVPGLOBAL INVESTMENT COMPANY
CUYAHOGA FALLS, Ohio and GREENWICH, Conn., January 31, 2022 /PRNewswire/ — Associated Materials (the “Company”) and SVPGLOBAL, a global investment firm with over $18 billion of assets under management, today jointly announced that they have entered into a definitive agreement under which funds managed by SVPGLOBAL will acquire Associated Materials.
Associated Materials is a vertically integrated building products company with $1.6 billion in annual sales and a market leader in vinyl windows, vinyl siding and metal siding and trim. Following the closing of the transaction, Associated Materials will be a portfolio company of SVPGLOBAL and will continue to provide its customers with the same high quality products and services, while adding significant new investments in upgrading and expanding the portfolio. of products.
The company has proudly served customers since the inception of its Alside brand in 1947 and today owns other leading brands including Gentek, Alpine and Preservation and sells popular product models and brands including Mezzo and Regency windows, Ascend and Align composite siding. , Charter Oak and Sequoia Select vinyl siding, and Sierra Steel and Satinwood metal upholstery and trim. Associated Materials has more than 4,400 employees and operates its own 125 Alside and Gentek supply centers in United States and Canada as well as 11 manufacturing plants.
David Geenbergco-head of SVPGLOBAL’s North American investment team, said, “Associated Materials is a strong business with some of North America’s leading siding and window brands and is well positioned in the product markets for home which are in very high demand today. We are excited about the prospects for growth and value creation for Associated Materials and look forward to leveraging SVPGLOBAL’s industry experience and relationships while supporting the company’s expansion. It is our privilege to guide Associated Materials through the next chapter of the company’s evolution and growth which began with the recapitalization of its balance sheet in 2020.”
President and CEO of Associated Materials, Brian C. Strausssaid, “Despite the extraordinary macroeconomic challenges experienced over the past 24 months, we have successfully managed this business to deliver strong financial results by continuing to serve our customers, support our employees and partner with our suppliers. We look forward to working with our future SVPGLOBAL shareholders and will remain focused on continued growth, adding to our heritage of providing the building materials industry with industry-leading innovations, products and services. »
Moelis & Company LLC is acting as financial advisor to the Company while Schulte, Roth and Zabel LLP is acting as legal advisor to the Company. Rothschild & Co is acting as exclusive financial advisor to SVPGLOBAL, and Milbank LLP is providing legal advice.
Financial terms of the transaction, which is subject to customary closing conditions and is expected to close in March, were not disclosed.
About Related Materials
Associated Materials’ mission is to create successful partnerships with contractors, builders, distributors and dealers by supplying, installing and servicing industry-leading exterior construction products and solutions. The company helps its partners create or restore exceptional residential, multi-family and light commercial structures that are energy efficient, comfortable, durable and beautiful to the home or building owner. The Company operates 11 manufacturing plants in United States and Canada, which produces vinyl windows, vinyl and composite siding and accessories, and metal building products. The Company also operates more than 125 supply centers across United States and Canada under the Alside® and Gentek® brands, respectively. For more information, visit relatedmaterials.com.
Strategic Value Partners, LLC and its affiliates (“SVPGLOBAL”) is a global investment firm focused on events, special situations, private equity and funding opportunities. The company uses a combination of procurement, financial and operational expertise to unlock value in complex situations. SVPGLOBAL now manages more than $18 billion of assets under management and, since its creation, has invested close to $41 billion capital, of which approximately $17 billion in Europe. The company, founded by Victor Khosla in 2001, has approximately 140 employees, including approximately 60 investment professionals, located in its main offices in Greenwich (CT), London and a presence in Tokyo. Learn more about www.SVPGLOBAL.com.
The statements in this press release regarding this transaction and our future results of operations, financial performance, liquidity and outlook include “forward-looking statements”. Forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from those expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, our ability to complete the transaction; our ability to retain key personnel and maintain relationships with suppliers, customers, employees and other third parties after the transaction; the decline of the renovation and home building industries; and the impact of COVID-19 on the Company’s business, industry and economy generally. Additional information regarding these and other important risks and uncertainties may be found in the Company’s annual and quarterly reports made available to its lenders and noteholders. Although the Company believes that its assumptions are reasonable, it is very difficult to predict the impact of known factors and, of course, it is impossible to anticipate all factors that could affect actual results. The Company undertakes no obligation to update any forward-looking statements to reflect subsequent events or circumstances, and you are cautioned not to place undue reliance on such forward-looking statements.
Todd Fogarty, Richard Goldman, Emma Young
+1 212 521 4800
SOURCE Associated Materials and SVPGLOBAL