Building materials leading company Owens Corning (NYSE:OC) has agreed to acquire door manufacturer Masonite (DOOR) for $3.9 billion in cash.

Building materials leading company Owens Corning (NYSE:OC) has agreed to acquire door manufacturer Masonite (DOOR) for $3.9 billion in cash. Under the terms of the deal, Owens Corning will pay $133 per share for each Masonite share. This represents a purchase multiple of 8.6 times Masonite’s expected 2023 adjusted EBITDA, or 6.8 times when factoring in $125 million of estimated synergies.

The deal is expected to strengthen Company’s position in the market by giving it a broader range of products and a stronger foothold in both interior and exterior solutions.

Here are some key points about the deal:

  • Owens Corning will pay $133 per share for each Masonite share.
  • The deal represents a purchase multiple of 8.6 times Masonite’s expected 2023 adjusted EBITDA.
  • The deal is supposed to shut in mid-2024.

Owens Corning CEO Brian Chambers said of the deal:

“We are incredibly excited about the opportunity to add this new growth platform to our company. Masonite is a market leader that complements our existing residential interior and exterior product offerings and has consistently demonstrated top-tier growth and margin expansion.”

Know about Owens Corning

Owens Corning is an American organization that creates and delivers protection, material, and fiberglass composites and related materials and items. It is the world’s biggest maker of fiberglass composites. It was shaped in 1935 as an organization between two significant American glassworks, Corning Glass Works and Owens-Illinois. The organization utilizes roughly 19,000 individuals all over the planet. Company has been a Fortune 500 organization consistently since the rundown was made in 1955. The Pink Puma goes about as the organization’s mascot and shows up in a large portion of their notices.

Owens-Corning Fiberglass Organization was shaped in 1935 through the consolidation of Owens-Illinois and Corning Glass Works. It turned into a different organization in 1938 with its base camp laid out in Toledo, Ohio. In 1938, the organization deals came to $2.6 million.