CUYAHOGA FALLS, OH -- Associated Materials, LLC, majority owned by affiliates of Investcorp and Harvest Partners, announced that it has signed a definitive agreement to be acquired by affiliates of Hellman & Friedman LLC in a transaction valued at approximately $1.3 billion. The transaction is expected to close in the fourth quarter of 2010 and is subject to customary conditions.
Associated Materials is a leading manufacturer of exterior residential building products, which are distributed through company-owned distribution centers and independent distributors across North America. The Company produces a broad range of vinyl windows, vinyl siding, aluminum trim coil, aluminum and steel siding and accessories, as well as vinyl fencing and railing.
"We are excited to be partnering with Hellman & Friedman," said Tom Chieffe, President and Chief Executive Officer of Associated Materials. "The Hellman & Friedman team has an impressive track record, understands our business and shares our vision for the future of the Company. We look forward to working closely with them to pursue our strategic objectives and continue our strong customer focus."
"With its vertically integrated distribution model and innovative product lines, Associated Materials is uniquely positioned to serve exterior contractors in the remodeling and new construction markets," said Erik Ragatz, Managing Director at Hellman & Friedman. "The Company's outstanding culture and singular focus on helping contractors grow their businesses has resulted in deep customer relationships. We are extremely pleased to have the opportunity to partner with Tom and the rest of the management team at Associated Materials."
Deutsche Bank Securities Inc. and affiliates and UBS Investment Bank have provided commitments to finance the transaction. UBS Investment Bank is acting as financial advisor to Hellman & Friedman and Simpson Thacher & Bartlett LLP is acting as legal advisor. Deutsche Bank and Barclays Capital are acting as financial advisors to Associated Materials and Gibson, Dunn & Crutcher LLP is acting as legal advisor.
About Associated Materials
Associated Materials is a leading, vertically integrated manufacturer and distributor of exterior residential building products in the United States and Canada. The Company's core products include vinyl windows, vinyl siding, aluminum and steel siding, and accessories. The Company's products are marketed on a wholesale basis to more than 50,000 independent contractors through a network of 119 company-operated supply centers and approximately 250 independent distributors across the U.S. and Canada. The Company's brand names include Alside®, Revere® and Gentek®. For more information, please visit the Company's website at www.associatedmaterials.com