Cary-based Ply Gem being sold for $2.4B
Posted January 31, 2018 12:17 p.m. EST
Cary, N.C. — Ply Gem Holdings Inc., a buildings product manufacturer based in Cary, will sell itself for $2.4 billion, according to a Wednesday filing with the Securities and Exchange Commission.
Clayton, Dubilier & Rice, a private equity investment firm based in New York, will acquire all of Ply Gem’s outstanding stocks in a go-private transaction. Shareholders will receive $21.64 per share in cash — a premium of approximately 20 percent over the company’s Tuesday stock price close.
Ply Gem’s stock price closed at $18.10 per share Tuesday. It opened at $21.40 per share Wednesday — an 18 percent increase after the announcement before the market opened.
Ply Gem will continue to be headquartered in Cary, and Gary Robinette will continue as the company’s CEO. John Krenicki, a CD&R operating partner and former vice chairman of General Electric Co., will become lead director of the board.
CD&R will also acquire Atrium Windows & Doors, headquartered outside Greensboro, North Carolina. Atrium and Ply Gem will combine to form a company with a total revenue of more than $2.4 billion in 2017.
The transactions are expected to close simultaneously in the second quarter of 2018.
CD&R will own about 70 percent of the new privately-held company, while the remaining 30 percent will be held by Atrium shareholders.
Ply Gem is a manufacturer of exterior building products, selling across the United States and Canada for new construction and home repair and remodeling. Atrium manufactures energy-efficient windows for new home construction and home repairs and remodeling.
This story is from the North Carolina Business News Wire, a service of UNC-Chapel Hill’s School of Media and Journalism