MUSCATINE, Iowa, -- HNI Corporation (NYSE: HNI) announced today it has acquired Sagus International, Inc., a privately held designer and manufacturer of educational furniture solutions, in an all cash transaction. Sagus operates primarily in North America, where it is the second largest market leader in educational furniture with annual sales in excess of $90 million. The acquisition includes the three operating units of Sagus:
Artco Bell Corporation - a leading provider of furniture for the K-12 education segment, located in Temple, Texas.
- Midwest Folding Products Corp. - a leading provider of cafeteria and folding tables for the education, hospitality, and commercial market segments, located in Chicago, Illinois.
- LSI Corporation of America, Inc. - a leading provider of laminate caseworks and furniture for the education and healthcare market segments, located in Plymouth, Minnesota.
The acquisition is expected to have minimal earnings impact in 2011 and be accretive to earnings in 2012. Sagus will continue to operate as a focused, stand-alone business with a unique brand position and strategy.
"We're excited about Sagus joining HNI Corporation. Its unique brands, strong customer relationships, quality products and differentiated business models make it a great fit with our strategy and brand portfolio. We look forward to working with the entire Sagus team and leveraging HNI's lean enterprise and market expertise to achieve greater efficiencies, outstanding customer support, and profitable growth," said Stan Askren, Chairman, President and CEO of HNI Corporation.
HNI Corporation is a NYSE traded company (ticker symbol: HNI) providing products and solutions for the home and workplace environments. HNI Corporation is the second largest office furniture manufacturer in the world and is also the nation's leading manufacturer and marketer of gas- and wood-burning fireplaces. The Corporation's strong brands, including HON®, Allsteel®, Gunlocke®, Paoli®, Maxon®, Lamex®, HBF® , Heatilator®, Heat & Glo®, Quadra-Fire® and Harman Stove(TM) have leading positions in their markets. HNI Corporation is committed to maintaining its long-standing corporate values of integrity, financial soundness and a culture of service and responsiveness. More information can be found on the Corporation's website at www.hnicorp.com.
Source: HNI Corp.
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