Gienow to Go Private with Acquisition by Equity Group
The Gienow Group, one of Canada’s largest window and door manufacturers, has entered into an agreement with Miami-based H.I.G. Capital LLC to acquire the business in a transaction valued at $105.6 million (CDN). Gienow, which has operated as a publicly traded income trust, includes Calgary-based Gienow Windows & Doors, a producer of wood and vinyl windows and doors serving Western Canada, and Farley Windows, a vinyl window manufacturer based in Alexandria, Ontario.
H.I.G. Capital was previously involved in the window and door industry through its ownership of Pittsburgh-based Thermal Industries. That business was later acquired by the Atrium Cos. H.I.G. currently manages a portfolio of more than 50 companies with combined revenues in excess of $7 billion.
The sale is a result of a strategic review announced in November 2006 by the Gienow Windows & Doors Income Fund. “Many options were considered, and we believe this transaction best serves the interests of our unit holders at this time,” says Dave Gregory, chairman of the special committee that led the strategic review process.
Gienow is a 2007 Window & Door Top 100 manufacturer, reporting 2006 sales of $203.6 million (CDN). In addition to Gienow and Farley, the company operates Award Windows in Edmonton, which produces triple-pane vinyl windows, and Architectural Windows & Doors, which focuses on the high-rise residential market.
The transaction is expected to close by mid-November, pending a vote by Gienow unit holders. After closing, trust units will be de-listed from the Toronto Stock Exchange.