MI Windows and Doors, LLC completed the acquisition of Milgard Manufacturing Incorporated from Masco Corporation.
November 06, 2019
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MI Windows and Doors, LLC signed a definitive agreement to acquire Milgard Manufacturing Incorporated from Masco Corporation (NYSE:MAS) for approximately $720 million on September 29, 2019. The agreement contains certain customary termination rights for Masco and MI Windows, including if the closing does not occur on or before December 28, 2019, subject to certain extension rights. MI Windows shall pay to Masco a termination fee of $35 million in case of termination of the agreement. As part of the transaction, Milgard team will join the MI Windows family. The transaction is subject to the regulatory approval, other customary closing conditions, including the expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Act. As of October 29, 2019, Federal Trade commission has granted early termination notice. The transaction is expected to complete during the fourth quarter of 2019. It was anticipated of using the proceeds to pay down $200 million debt maturity and for approximately $400 million of share repurchases. Christopher M. Cicconi of Stevens & Lee acted as legal advisor to MI Windows. John D. Amorosi, Harold Birnbaum, Neil Barr, Ethan R. Goldman, Kyoko Takahashi Lin, David Mollo-Christensen, Frank J. Azzopardi and Hilary Dengel of Davis Polk & Wardwell LLP acted as legal advisors to Masco. Joshua Rosenbaum and Henry Hank Johnson of RBC Capital Markets, LLC acted as financial advisors to Masco Corporation in the transaction. Patrick Curry and Mike McMahon of KeyBanc Capital Markets acted as financial advisor for MI Windows and Doors, LLC.
MI Windows and Doors, LLC completed the acquisition of Milgard Manufacturing Incorporated from Masco Corporation (NYSE:MAS) on November 6, 2019. Masco Corporation received proceeds of approximately $720 million, net of cash disposed, subject to final working capital adjustments. The proceeds from the sale were used to repay and early retire $201 million of 7.125% Notes due March 15, 2020. John Taladay and Christine Ryu-Naya of Baker Botts L.L.P. acted as legal advisors for Masco Corporation.
Masco Corporation is one of the world's leading manufacturers of home improvement products. Net sales break down by family of products as follows:
- plumbing equipment (60.8%): plumbing, sink, bath and shower systems (Delta, Brizo, Peerless, Hansgrohe, Axor, Kraus, Easy Drain, Ginger, Newport Brass, Brasstech, Waltec, Bristan ans Heritage brand names), acrylic bathtubs, shower enclosures and shower trays (Delta, Peerless and Mirolin), spa and exercise pool systems (Hot Spring, Caldera, Freeflow Spas, Endless Pool, Tylo and Finnleo) and brass/copper and composite plumbing components (Brasscraft, Plumbshop and Master Plumber);
- architectural decoration products (39.2%): architectural coatings products (paints, primers, special paints, stains and waterproof coatings sold under the Behr, Kilz, Whizz and Elder & Jenks brands), furniture for door and window, do-it-yourself furniture and equipment, glass shower doors, wall plates, hooks and suspension accessories, etc. (Liberty, Brainerd and Franklin Brass).
At the end of 2023, the group had 42 production sites located primarily in North America (30).
Net sales are distributed geographically as follows: North America (80.1%) and Europe (19.9%).
MASCO CORPORATION 
