ProBuild moves into 84 Lumber’s backyard
According to an article in the Pittsburgh Tribune-Review, the market dynamics of the Pittsburgh area are enticing ProBuild into western Pennsylvania.
The latest Pittsburgh-area opening for Denver-based ProBuild, which operates 470 locations, is White Oak, Pa., in a former auto dealership, according to the newspaper. Other ProBuild locations opening or opened near the company’s Eighty Four, Pa., headquarters are Altoona, Pa., and Morgantown, W. Va.
The paper quoted 84 Lumber spokesman Jeff Nobers: "This is a stable housing market."
ProBuild is headed by CEO Bill Myrick, the former chief operating officer of 84 Lumber.
Guardian names new president
Greenville, S.C.-based Guardian Building Products has named Steven Ziessler as president of the fiberglass insulation manufacturer and building products distributor.
Ziessler replaces the retiring Duane Faulkner, and will oversee the worldwide operations of Guardian’s building products business, including manufacturing, marketing, distribution and product development.
Ziessler’s background includes positions at Kimberly-Clark, Cellu Tissue and Clearwater Paper.
"Steve demonstrates a unique understanding of what Guardian is all about," said Guardian chairman Peter Walters. "His skill set, experience, and demonstrated ability to develop and manage profitable businesses in a changing world are impressive and core to our culture."
Faulkner, who is retiring after 30 years, will "work closely with Ziessler in a senior advisory role during a transitional period," the company said.
LP purchased OSB plant in Brazil
Louisiana-Pacific Corp. has announced that its subsidiary, LP South America (LPSA), has purchased the remaining 25% interest in an oriented strand board (OSB) mill in Ponta Grossa, Parana, Brazil.
In 2008, LPSA entered into a joint venture agreement with Masisa-Brasil in which LPSA bought 75% of the plant, called LP-Brasil OSB Industria e Comercio S.A., and its assets. The purchase agreement included a put/call option for the remaining Masisa ownership. On May 12, 2011, Masisa exercised its option to sell its remaining 25% ownership for $24 million, including working capital. The acquisition was funded with $19.5 million of cash on hand and $4.5 million of borrowings under a short-term credit facility with a Chilean bank. LP-Brasil expects to borrow approximately $10 million under a term loan from a Brazilian bank in the near future to replenish its South American cash balance.
"The completion of this purchase is an important next step in our strategic focus on growing business in South America," said Rick Olszewski, LP’s executive VP sales and president of LPSA.
The Ponta Grossa OSB plant was placed in service in 2003 and has an annual production capacity of 390 million sq. ft. LPSA also owns two OSB mills in Chile with a combined annual production capacity of 290 million sq. ft., according to the announcement from the Nashville, Tenn.-based company.