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8-K - FORM 8-K - Quanex Building Products CORP | c15186e8vk.htm |
Exhibit 99.1
Press Release |
Quanex Building Products Completes its Acquisition of Edgetech I.G.
Houston, Texas, April 1, 2011 Quanex Building Products Corporation Quanex (NYSE:NX) today
announced it completed the acquisition of Edgetech. Quanex reported it paid $107.0 million in an
all cash transaction and the acquisition is expected to be accretive in year one.
Headquartered in Cambridge, Ohio, Edgetech has three manufacturing facilities (US/UK/Germany) that
produce a full line of warm-edge, dual seal insulating glass spacer systems for window and door
customers in North America and abroad. Edgetechs products separate and seal double and triple
pane glass within a window and further act as a thermal barrier that enhances the windows energy
efficiency.
I am pleased to announce our completed acquisition of Edgetech, a leading manufacturer of
warm-edge insulating glass spacer systems for US and internationally based window and door
customers, said David Petratis, chairman and chief executive officer of Quanex. Acquiring
Edgetech not only strengthens our company and enhances our team, it complements our on-going
efforts to provide our customers with the broadest range of high quality components, products,
systems and services the fenestration industry has to offer. Acquiring Edgetech will allow us to
better serve our growing base of large and regional customers and will further accelerate our
international growth. Together, we will develop the next generation of energy efficient spacer
systems.
Our two companies have been working diligently since January to ensure a smooth integration of
Edgetech into our Engineered Products segment. Integration is on-track and progressing well, which
will ensure a seamless experience for our combined customer base. Quanex and its family of
businesses remain committed to driving outstanding customer service in the fenestration industry,
said Petratis
Excluding parent overhead allocation, Edgetech reported unaudited 2010 sales of $76 million,
EBITDA of $12.2 million and operating income of $10.4 million. These amounts exclude expected
synergies currently estimated at a high level to be $2 million to $3 million, and without giving
effect to the acquisition. Edgetech represents the type of acquisition we want to make as we seek
to profitably grow Quanex while providing a compelling value proposition to our customers. We have
a team working on synergy opportunities that will position Quanex and its brands as the leading
fenestration component supplier in the industry by providing its customers with the highest quality
products available, produced in the most efficient way possible, Petratis concluded.
Quanex is an industry-leading manufacturer of engineered components, products and systems serving
North America and international window and door OEMs. Our strategy is to profitably grow sales
through a combination of organic growth initiatives (new products and programs) and fenestration
related acquisitions that provide our customers with a compelling value proposition. For further
information, visit us at www.quanex.com.
Statements that use the words expect, should, believe, will, might, or similar words
reflecting future expectations or beliefs are forward-looking statements. The statements found
above are based on current expectations. Actual results or events may differ materially from this
release. Factors that could impact future results may include, without limitation, the effect of
both domestic and global economic conditions, the impact of competitive products and pricing, and
the availability and cost of raw materials. For a more complete discussion of factors that may
affect the companys future performance, please refer to the companys most recent 10-K filing on
December 20, 2010, under the Securities Exchange Act of 1934, in particular the section titled,
Private Securities Litigation Reform Act contained therein. The forward-looking statements are
intended to express the companys expectations as of the date of this release. The company
undertakes no obligation to publicly update or revise any forward-looking statement, whether as a
result of new information, future events or otherwise.
Financial Contact: Jeff Galow, 713-877-5327, Media Contact: Valerie Calvert, 713-877-5305
www.quanex.com |