CHARLOTTE, NC, April 17, 2023 /PRNewswire/ — JELD-WEN Holding, Inc. (NYSE: JELD), a leading global manufacturer of building products, today announced that it has completed a comprehensive review of strategic alternatives for its business in Australasia and has entered into a definitive agreement with sale. with Platinum Equity to sell 100% of the business for approx $688 million Australian dollars (or approx US$461 million1) before tax and subject to certain changes. JELD-WEN anticipates minimal tax leakage related to the transaction.
“Today’s announcement marks continued execution against our strategy to accelerate and simplify our business and maximize shareholder value,” it said. William J. Christensen, JELD-WEN chief executive officer. “I would like to personally thank our Australasia team for their hard work and dedication to serving customers. We look forward to working with Platinum to execute a smooth transition for the business.”
Platinum Equity Co-President Louis Samson and Platinum Equity Managing Director Adam Cooper said in a joint statement, “We are excited about the prospects for the Australasia business. Platinum has decades of experience in corporate carve outs, helping to build standalone companies that maximize their potential. With our experience of australian, our knowledge of the building products space, and our carving out expertise and operational capabilities, we look forward to helping the business navigate a dynamic housing market. This investment is in our wheelhouse.”
JELD-WEN’s business in Australasia represents approximately 11 per cent of the company’s global revenue and is Australia’s leading designer, manufacturer and distributor of windows and doors. It employs nearly 5,000 people and has 41 manufacturing locations worldwide. australian, Malaysia and Indonesia. Its well-known brands include Corinthian®, Stegbar® and Breezway®, among others.
The transaction is expected to close in the third quarter of 2023, subject to certain closing conditions and regulatory approvals.
JELD-WEN intends to use most of the proceeds from the transaction to repay the loan. The company plans to update full-year guidance in its first-quarter earnings call, scheduled for May 9to reflect the reporting of the Australasia business as having ceased operations beginning in the second fiscal quarter.
Counselors
Macquarie Capital served as JELD-WEN’s financial adviser, and Herbert Smith Freehills served as legal counsel. Gresham Advisory Partners served as financial adviser to Platinum Equity, and Allens served as legal counsel.
To learn more about JELD-WEN, please visit the company’s website at www.jeld-wen.com.
About JELD-WEN Holding, Inc.
Headquarters at Charlotte, NC, JELD-WEN is a leading global manufacturer of high-performance interior and exterior building products, offering one of the widest selections of windows, interior and exterior doors, and wall system. JELD-WEN provides a distinctive customer experience, providing construction professionals with durable, energy-efficient, labor-saving products and services that help them maximize productivity and create beautiful, safe places for everyone to enjoy. The JELD-WEN team is committed to creating a safe, sustainable environment for customers, partners and the local community. The JELD-WEN family of brands includes JELD-WEN® worldwide; LaCantina™ and VPI™ at North America; Swedoor® and DANA® at Europe; and Corinthian®, Stegbar® and Breezway® in australian.
About Platinum Equity
Founded in 1995 by Tom GoresPlatinum Equity is a global investment firm with approx $47 billion of assets under management and a portfolio of approximately 50 operating companies serving customers worldwide. Platinum Equity specializes in mergers, acquisitions and operations – a trademark strategy it calls M&A&O® – acquiring and operating companies in a wide range of business markets, including manufacturing, distribution , transportation and logistics, equipment rental, metal services, media and entertainment, technology. , telecommunications and other industries. Over the past 27 years Platinum Equity has completed more than 350 acquisitions.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are generally identified by the use of forward-looking terminology, including the terms that “expects,” “believes,” “continues,” “may,” “estimates,” “expects,” “intends,” “likely,” “could,” “plans,” “possible,” “potential,” ” forecast,” “project,” “must,” “target,” “will,” “want” and, in each case, their negative or other different or similar terminology. All statements other than statements of historical facts or forward-looking statements, including statements about our business strategies and ability to execute our plans, market potential, future financial performance, customer needs, potential of our categories, brands and innovations, the impact of our footprint rationalization and modernization program, the impact of acquisitions and divestitures on our business and our ability to grow value and integrate operations, our pipeline of productivity projects, the estimated impact of tax reform on our results, litigation results, and our expectations, beliefs, plans, goals, prospects, assumptions, or other future events, all of which involve risks and uncertainties that could cause actual results to differ materially. For a discussion of these risks and uncertainties, please see our Annual Report on Form 10-K for the year ended. December 31, 2022 and our other filings with the Securities and Exchange Commission.
Media contacts:
Colleen Penhall
Vice President, Corporate Communications
980-322-2681
[email protected]
Dan Whelan
Platinum Equity
310-282-9202
[email protected]
Investor Relations Contact:
James Armstrong
Vice President, Investor Relations
704-378-5731
[email protected]
1 Based on the AUD/USD FX rate at 0.67 at April 17, 2023
SOURCE JELD-WEN Holding, Inc.