SBR Inc., the privately held parent company of vinyl window maker Simonton Windows, is being acquired by Deerfield, Ill.-based Fortune Brands Inc., the company that makes Therma-Tru doors, Moen faucets, Titleist golf products and Jim Beam bourbon, for about $630 million in stock and financing.
In addition to Simonton Windows, Parkersburg, W.Va.-based SBR also owns urethane millwork maker Fypon Ltd. in Archbold, Ohio; Gadsden, Ala.-based Dixie-Pacific Manufacturing Co. Inc., which makes column and railing systems; and acrylic blocks producer Hy-Lite Products Inc. in Beaumont, Calif.
Fortune will continue to operate SBR's 12 manufacturing facilities, including the Fypon facility in China, said spokesman Clarkson Hine.
No plant closings or layoffs are planned. In fact, it was 4,633-employee SBR that approached Fortune and initiated the deal.
``We did not auction the company out,'' said SBR spokeswoman Kathy Ziprik. ``Fortune was our No. 1 choice. They have demonstrated that they create shareholder value.''
``This is another excellent high-return growth opportunity for us,'' he said. ``It's the next logical step in building our home and hardware business.
``Vinyl windows are benefiting from materials conversion right now.''
Fortune officials said Simonton is North America's No. 3 maker of vinyl window systems and the leader in both the replacement market and in the storm-resistant category. Simonton, which extrudes profiles and fabricates windows, accounts for more than 75 percent of SBR's $565 million in annual sales.
Simonton operates fabrication plants in Ellenboro, Harrisville and Pennsboro, W.Va.; Vacaville, Calif.; McAlester, Okla.; and Paris, Ill.; and it has one vinyl extrusion facility in St. Marys, W.Va., operated by a subsidiary, Simex.
``Simonton benefits from many of the same favorable demographics that support our faucet, cabinet and exterior door brands,'' Bruce Carbonari, president and chief executive officer of Fortune Brand Home & Hardware, said in a news release. ``The addition of SBR's brands also creates opportunities for valuable cost synergies in materials, transportation and best practices across our home and houseware business as well.''
SBR's management will stay in place, though founder and CEO Sam Ross will retire.
The deal is scheduled to close in the next few months and is subject to regulatory approval and customary closing conditions.