Apogee Enterprises APOG announced today that it has acquired
100 percent of the stock of Toronto-based Alumicor Limited, which finishes and
fabricates aluminum frames for window, storefront, entrance and curtainwall
products for the Canadian commercial construction industry, for approximately
$52 million from majority shareholder Fulcrum Capital Partners and six
minority shareholders. Apogee provides distinctive value-added glass solutions
for the architectural and picture framing industries.
“We are very pleased to acquire Alumicor, a Canadian market leader with annual
revenues of approximately C$60 million and an impressive management team,”
said Joseph F. Puishys, Apogee chief executive officer. “Alumicor ideally
complements Apogee's growth strategies. It helps Apogee grow geographically by
expanding our presence in the Canadian non-residential market, and will also
contribute to growth through new product introductions.
“Alumicor is a growing company with operating margins consistent with the
Architectural Framing Systems segment, and we expect it to be accretive to
Apogee's earnings in fiscal 2015,” said Puishys. “Alumicor serves both new
construction and retrofit projects in the Canadian institutional and
commercial sectors. It is a brand known for quality and delivery, consistent
with the strength of Apogee's other brands.”
“We are pleased to be joining forces with Apogee, a strong company that is
also known for its leadership and integrity in commercial construction
markets,” said Larry Maker, Alumicor president. “We look forward to working
with Apogee to capitalize on opportunities to grow Alumicor and to leverage
synergies with our new sister companies.”
“This is the second acquisition Apogee has completed this fiscal year, the
first being a custom window company in Colorado,” said Puishys. “Along with
our organic growth initiatives, this puts us well on our way to exceeding our
goal to be $1 billion in revenues by the end of fiscal 2016.”
Apogee funded the acquisition from cash. Alumicor will be a seventh
stand-alone business in the Apogee portfolio, reporting to Puishys. Its
results will be incorporated in the Architectural Framing Systems segment,
which includes Tubelite, a storefront, entrance and curtainwall company
serving U.S. markets, Wausau, a custom window and curtainwall company, and
Linetec, a finishing company.
About Alumicor Limited
Alumicor, headquartered in Toronto and with facilities in Toronto, Manitoba,
Quebec and Nova Scotia, was founded in 1959. The designer, finisher and
supplier of architectural aluminum building envelope products, including
storefront, entrance, window and curtainwall framing systems, has
approximately 300 employees. Alumicor drives innovation with products and
manufacturing capabilities that respond to the evolving needs of the
architectural and building community. It is known for its technical
competence, responsiveness and integrity. With a commitment to sustainable
design through the use of recycled aluminum, Alumicor is positioned to support
green building projects and LEED eligibility.
About Fulcrum Capital Partners
Fulcrum Capital Partners, Vancouver, British Columbia, and Toronto, Ontario,
Canada, is a leading private investment management firm providing flexible
private equity and mezzanine financing to Canadian middle-market companies.
Fulcrum Capital manages two private equity funds with C$350 million in
committed capital, and a mezzanine finance business in excess of C$400 million
in committed capital.
About Apogee Enterprises
Apogee Enterprises, Inc., headquartered in Minneapolis, provides distinctive
solutions for enclosing commercial buildings and framing art. The company is
organized in four segments, with three of the segments serving the commercial
construction market:
* Architectural Glass segment consists of Viracon, the leading fabricator of
coated, high-performance architectural glass for global markets.
* Architectural Services segment consists of Harmon, Inc., one of the
largest U.S. full-service building glass installation and renovation
companies.
* Architectural Framing Systems segment businesses design, engineer,
fabricate and finish the aluminum frames for window, curtainwall and
storefront systems that comprise the outside skin of buildings. Businesses
in this segment are: Wausau Window and Wall Systems, a manufacturer of
custom aluminum window systems and curtainwall; Tubelite, a fabricator of
aluminum storefront, entrance and curtainwall products; and Linetec, a
paint and anodizing finisher of window frames and PVC shutters.
* Large-Scale Optical segment consists of Tru Vue, a value-added glass and
acrylic manufacturer primarily for the custom picture framing market.
Forward-Looking Statements
The discussion above contains “forward-looking statements” within the meaning
of the Private Securities Litigation Reform Act of 1995. These statements
reflect Apogee management's expectations or beliefs as of the date of this
release. The company undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise. All forward-looking statements are qualified by factors
that may affect the operating results of the company, including the following:
(A) operational risks: i) the cyclical nature and market conditions of the
North American and Latin American commercial construction industries, which
impact our three architectural segments; ii) consumer confidence and the
conditions of the U.S. economy, which impact our large-scale optical segment;
iii) actions of competitors or new market entrants; iv) ability to fully and
efficiently utilize production capacity; v) product performance, reliability,
execution or quality problems; vi) installation project management issues that
could result in losses on individual contracts; vii) changes in consumer and
customer preference, or architectural trends and building codes; and viii)
dependence on a relatively small number of customers in certain business
segments; (B) financial risks: i) revenue and operating results that are
volatile; and ii) financial market disruption which could impact company,
customer and supplier credit availability; (C) self-insurance risk related to
a material product liability or other event in which the company is liable;
(D) cost of compliance with environmental regulations; (E) potential impact on
financial results if one or more senior executives were no longer active with
the company; and (F) integration of two recent acquisitions. The company
cautions investors that actual future results could differ materially from
those described in the forward-looking statements, and that other factors may
in the future prove to be important in affecting the company's results of
operations. New factors emerge from time to time and it is not possible for
management to predict all such factors, nor can it assess the impact of each
such factor on the business or the extent to which any factor, or a
combination of factors, may cause actual results to differ materially from
those contained in any forward-looking statements. For a more detailed
explanation of the foregoing and other risks and uncertainties, see Item 1A of
the company's Annual Report on Form 10-K for the fiscal year ended March 2,
2013.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in