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Onex completes investment in Jeld-Wen

BY Ken Clark

Onex Corp. has announced the completion of its investment in window and door manufacturer Jeld-Wen Holding and looks forward to the eventual recovery in housing markets around the world.

“This is a very exciting time for Jeld-Wen,” commented Rod Wendt, CEO of Klamath Falls, Ore.-based Jeld-Wen.  “We believe that Onex’s strategic guidance and experience combined with our strong balance sheet, brand and market position will allow us to further grow the company and strengthen our competitive position."

The total investment of $871 million includes $689 million from Onex Partners III, of which Onex’s share was $124 million as a limited partner in the Fund, and Onex’s $182 million investment as a co-investor in the transaction. Onex intends to offer a portion of this co-investment to its third-party limited partners. With the completion of the Jeld-Wen investment, Onex Partners III is approximately 40% invested.

The Onex Group’s total investment of $871 million includes: $700 million of convertible preferred stock to acquire a 58% ownership stake and a $171 million convertible note that can be redeemed within 18 months with proceeds from the sale of certain non-core assets and, if not redeemed, will convert into additional shares of convertible preferred stock. In connection with the acquisition, Jeld-Wen completed a $460 million bond offering, the proceeds of which in combination with the Onex Group’s investment were used to refinance the company’s existing debt.

The balance of the company continues to be owned by the trust of the late founder. Richard Wendt, members of the Wendt family, Jeld-Wen employees and other existing shareholders.  Jeld-Wen’s corporate culture remains firmly rooted and intact, with the company continuing to be privately owned.

“As an industry-leading business with tremendous brand awareness, strong market positioning and truly global operations, Jeld-Wen fits very well with our investment approach,” said Anthony Munk, a managing director of Onex. “We are excited to be working with the Jeld-Wen team to build value and take advantage of the eventual recovery in global housing markets.” 

In August, Philip Orsino, Onex’s building products industrial partner, was appointed by the Jeld-Wen board of directors as Jeld-Wen’s president. Orsino was formerly the CEO of Masonite International until 2005 and has spent more than 25 years in the global door and window manufacturing business. Orsino is now responsible for Jeld-Wen’s day-to-day operations and is working with the management team to improve the company’s overall operational and financial performance.

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Fiberon hires California rep

BY HBSDealer Staff

New London, N.C.-based Fiberon, a manufacturer of composite and PVC decking and railing products, hired Greg Reed as a Fiberon product specialist for the Northern California territory. He will be responsible for increasing and managing the network of decking contractors in his market.

"The addition of Greg as a Fiberon product specialist is consistent with our strategic plan to invest heavily in contractor-focused pull-through resources. We will continue to invest in quality people in key markets throughout the year," said Bill Ross, VP sales for Fiberon.

Prior to joining Fiberon, Reed served as a sales representative for TAIGA Building Products in Northern California. 

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Leviton acquires maker of energy information solutions

BY Ken Clark

Melville, N.Y.-based Leviton Manufacturing has acquired Obvius, a provider of solutions to collect energy information.

According to Leviton, the Obvius acquisition allows the company to offer the most complete line of lighting and energy management solutions. A complementary strategic addition to Leviton’s current line, Leviton now offers solutions to meet all measurement and verification-based opportunities, such as smart metering, energy data information, load management and LEED rating achievement.

“Obvius is another key acquisition that supports our leadership in sustainable energy technologies,” said Daryoush Larizadeh, Leviton’s chief operating officer, in a prepared statement. “As the leader in lighting energy management solutions, our continued expansion into the measurement and verification market supports our customers’ efforts to validate and optimize the performance of their systems in pursuit of LEED credits and reduced energy use.”

Obvius products offer data acquisition, wireless communications, energy dashboard software and plug-and-play hardware solutions.

“With the addition of Obvius’ data acquisition technology, Leviton can now offer a fully integrated, single-source energy management solution to its established and new customer channels,” said Jim Lewis, CEO of Obvius.

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