Norandex Acquired by CertainTeed Parent
Cie. de Saint-Gobain, the French parent of CertainTeed Corp., has acquired Owens-Corning Corp.’s Siding Solutions business for $371 million. The purchase includes the Norandex/Reynolds building products distribution business as well as three Norandex vinyl siding plants. In total, Norandex employs 2,200 people and reported 2006 sales of $866 million.
With 153 branches in 38 states, Norandex ranks among the top 15 U.S. building product dealers and distributors in a highly fragmented market, according to Saint-Gobain. It distributes a broad line of exterior building products, including windows from Pella, Silver Line and Simonton, and Therma-Tru entry doors.
The acquisition enables CertainTeed to regain its position as the leading producer of vinyl siding in North America, according to Plastics News. A spokesperson for the French company told Plastics News, however, that the distribution business is what made the acquisition so attractive. Saint-Gobain, a 330-year-old company that got its start producing glass for the mirrors of the Versailles Palace of Louis the XIV, first expanded into the building products distribution business in 1996 and has expanded rapidly over the past 10 years to become the leader in Europe. One of Saint-Gobain’s corporate goals now is to be the leading supplier to the construction market worldwide.
Saint-Gobain officials say the Norandex plants will be consolidated with the existing CertainTeed plants, and “enable the group to unlock significant synergies.” No details have been provided, however, about how the deal will impact CertainTeed’s vinyl window operations. CertainTeed currently has three West Coast window manufacturing plants, as well as vinyl extrusion operations serving several independent, licensed CertainTeed window manufacturers around the U.S. In 2006, CertainTeed sold its Indiana vinyl window manufacturing plant to MI Windows & Doors, which now manufactures CertainTeed brand products for Midwestern markets.
Based in Valley Forge, Pa., CertainTeed manufactures a wide variety of building products at 70 facilities around the country, employing about 9,000 people. Saint-Gobain employs more than 170,000 people in 46 countries worldwide.