PPG's $1.05 billion acquisition Friday of AkzoNobel's North American architectural coatings business is the latest large-scale corporate transaction affecting the wood products manufacturing industry. PPG’s top executives said in the Dec. 14 conference call that the transaction's timing occurs as the U.S. enters the early stages of a housing and construction recovery.
According to PPG, the acquisition of AkzoNobel’s North American coatings business moves it into the number one position for architectural finishes in Canada and the Caribbean, and places it firmly in the two spot in the United States, second only to Sherwin-Williams.
Sherwin-Williams also has not been idle. On Nov. 12 the wood finishing firm announced it will acquire Consorcio Comex S.A. de C.V. of Mexico for $2.34 billion. Founded in 1952, Comex operates 16 manufacturing sites, including eight in Mexico, five in the United States and three in Canada.
They are not the only ones gearing up for an improving economy. On Thursday, Dec. 13, announcement came of Georgia-Pacific’s purchase of Temple-Inland from International Paper, for $750 million. The transaction, expected to be completed in first quarter 2013, includes Temple-Inland’s 16 wood and panel manufacturing facilities: five solid wood mills, four particleboard plants, two MDF plants, a fiberboard plant and gypsum wallboard plants.
Other notable purchases in the wood products market in the past few months include:
• Richelieu Hardware Sets Stage to Buy Some of Its Stock Back - posted Dec. 8
• Lumber Liquidators $50 Million Stock Buyback - posted Dec. 8
• States Industries Acquires Drawer Box Specialties - posted Dec. 4
• LP to Buy Canfor’s Share in Peace Valley OSB Joint Venture - posted Nov. 28
• Maine Wood Concepts Buys Vic Firth Gourmet Co. - posted Nov. 27
• Panel Processing Acquires Modular Wood Systems - posted Nov. 12
• Mereen-Johnson Purchased by Private Equity Firm - posted Nov. 11
• Nepa Pallet Acquired by Universal Forest Products - posted Nov. 7
• Stella-Jones to Acquire McFarland Cascade for $230M - posted Nov. 4
• Mohawk Industries to Acquire Pergo Laminate Flooring for $150M - posted Oct. 29
• Home Depot Finalizes $94M US Home Systems Buyout - posted Oct. 29
• Patrick Industries Acquires Middlebury Hardwood Products - posted Oct. 29
Have something to say? Share your thoughts with us in the comments below.