Charlotte, N.C.-based Jeld-Wen Holding Inc. will acquire Spokane, Wash.-based VPI Quality Windows Inc., a privately held vinyl window manufacturer serving the multifamily, institutional and hotel markets.
Jeld-Wen signed a definitive agreement to acquire VPI, according to a March 4 news release about the pending transaction, which is expected to close late in the first quarter.
Jeld-Wen expects VPI to generate about $60 million a year and the acquisition to be immediately accretive, the release said.
In business for about 25 years, VPI entered the multifamily market by supplying products for military housing projects in 1997, according to its website. The company then expanded into the California residential remodeling market followed by the Seattle multifamily market in the 2000s.
VPI's focus on product performance and service make it a preferred supplier to many builders in the Western U.S., and an attractive acquisition target, according to Jeld-Wen President and CEO Gary Michel.
"VPI will provide Jeld-Wen with a foundation for growth in the multifamily window market, providing us with a premier product and brand in the segment," Michel said in the release. "We believe that VPI's capabilities and service model, combined with Jeld-Wen's national distribution footprint, will provide significant growth potential."
VPI manufactures three window and door systems out of 120,000 square feet of factory space in Spokane and Beaverton, Ore., according to its website. The Oregon site was purchased in 2014 from Mercer Industries.
Founded in 1960, Jeld-Wen manufactures wood, vinyl and aluminum windows and doors in 20 countries, mostly in North America, Europe and Australia, for the residential and commercial new construction and repair-and-remodeling markets. The products are marketed globally under the Jeld-Wen brand as well as the regional brands of Swedoor and Dana in Europe and Corinthian, Stegbar, and Trend in Australia.
For the 2018 fiscal year, Jeld-Wen revenue was up 15.5 percent to $4.34 billion for a profit of $144.3 million, according to a Feb. 19 news release about its 2018 results.