CLEVELAND, Nov. 18, 2019 /PRNewswire/ -- Masco Corporation, a diversified manufacturer of building and construction products, announced today that it had entered into an agreement to sell its Masco Cabinetry division to the ACProducts Incorporated subsidiary of American Industrial Partners. The transaction is expected to be completed in the first quarter of 2020.
According to Freedonia Group industry analyst Matt Zielenski, "The acquisition will make ACProducts' the nation's second-largest cabinet supplier with nearly $1.5 billion in annual cabinet sales. ACProducts will acquire a firm with a nationwide manufacturing and distribution presence and a number of well-recognized brand names. Furthermore, the transaction expands American Industrial Partners' position in the US home interiors market, as that firm is the parent company of AHF Products, a key supplier of hardwood flooring."
"Sales of cabinets should continue to see solid growth as Americans continue to invest in kitchen and bathroom remodeling projects. In many cases, these renovations include the installation of not only more cabinets, but larger cabinets with features that enhance convenience, such as pull-out shelves, racks, and touchless opening devices. ACProducts will be well-positioned to take advantage of these favorable market conditions going forward."
Zielenski also stated, "Masco had previously announced its interest in reducing its exposure to the more cyclical housing market and concentrate on the growth opportunities in the home remodeling segment. After its recently completed sale of its Milgard Windows and Doors subsidiary, the sale of Masco Cabinetry will complete Masco's transformation to a leading supplier of decorative paints and coatings, plumbing fixtures and fittings, and lighting and ceiling fans."
For more information on the outlook for the US cabinets and home renovation markets, see The Freedonia Group's Construction Studies page featuring the following industry studies:
Windows and Doors
Garage and& Overhead Doors
Residential Windows and Doors
Commercial Windows and Doors
Global Architectural Paint
Home Kitchen and Bathroom Remodeling
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