BEACHWOOD, OH — Two of the cabinet industry’s largest cabinet manufacturers, MasterBrand and American Woodmark Corp., have entered into a definitive agreement under whose terms the companies will combine via an all-stock merger, corporate officials announced.
The transaction, which has been unanimously approved by the boards of directors of both companies, is expected to close early next year, subject to regulatory and shareholder approvals and customary closing conditions, officials said.
Upon completion of the transaction, American Woodmark will become a wholly-owned subsidiary of MasterBrand, with the combined company, to be known as MasterBrand, headquartered at MasterBrand’s current location in Beachwood, OH.
“Bringing together MasterBrand and American Woodmark will be a transformative step for both of our organizations that will even better position us to serve the evolving needs of our customers and provide consumers with more choice and access,” said Dave Banyard, president and CEO of MasterBrand.
“MasterBrand and American Woodmark bring unique but complementary strengths – strong and broad portfolios and streamlined low-cost manufacturing profiles – and in leveraging them, the combination will help us accelerate our strategies and create enhanced value for both companies’ shareholders,” Banyard added.
MasterBrand, the largest manufacturer of residential cabinets in North America, offers an expansive portfolio of brands across a broad price spectrum, including Dura Supreme, KitchenCraft, Aristokraft, Omega, Bertch, Decora, Diamond and HomeCrest.
American Woodmark, which offers more than a dozen brands, is one of the nation’s largest cabinet suppliers.
“MasterBrand and American Woodmark will maintain a commitment to growing each company’s legacy brands,” Banyard said. “Channel partners are expected to benefit from greater flexibility as to where and how they purchase, and enhanced value through more sophisticated support and marketing capabilities.”
Combining the talent and resources of both MasterBrand and American Woodmark is also expected to enable increased investment in growth, automation and technology to drive further efficiencies and enhance the customer experience.”