Masco Corp. to Sell Milgard Windows and Doors

Window & Door
June 20, 2019
Companies

Masco Corp. concluded its strategic review of its cabinetry and windows businesses and will pursue the sale of these businesses, which includes Milgard Windows and Doors.

“Since we announced the strategic review of our cabinetry and windows businesses in March, we have worked with our external advisors, our cabinetry and windows business units, and our board of directors to evaluate alternatives to best deliver long-term value for our shareholders,” says Keith Allman, Masco’s president and CEO. “We have determined that pursuing the sale of Masco Cabinetry, Milgard Windows and UK Window Group in three separate transactions is the most appropriate path forward to accomplish this value creation. We expect that the sales of these businesses will be concluded in approximately six to nine months, assuming that each of these transactions can be completed on acceptable terms and conditions.”

Allman also says this move will reduce the company's exposure to the new construction segment of the market and "position us to focus on our less cyclical plumbing products and architectural products businesses going forward."

For 2018, the cabinetry products and windows and other specialty products segments on a combined basis reported $1.7 billion in net sales, $120 million in operating profit and $161 million in adjusted EBITDA, which represented 20 percent of Masco’s consolidated net sales, 10 percent of consolidated operating profit and 11 percent of consolidated adjusted EBITDA.