PLEASANTON, Calif.,
April 7, 2022 /PRNewswire/ -- Simpson
Manufacturing Co., Inc. (the "Company" or "Simpson") (NYSE:SSD), an
industry leader in engineered structural connectors and building
solutions, today announced the successful completion of its
previously announced acquisition of the ETANCO Group ("ETANCO"), a
leading designer and manufacturer of fixing and fastening solutions
for the European building construction market, for €725 million
(approximately $800 million(1)), net of cash. For
the 12 months ending September 30,
2021, ETANCO's net sales and operating income margin were
approximately €258 million(2) (approximately
$291 million(2)) and
19.7%(2), respectively.
"ETANCO is a highly successful and profitable company with a
70-year history and well-established brand and market position,"
said Karen Colonias, Chief Executive
Officer of Simpson Manufacturing Co., Inc. "We believe its
extensive and complementary product offering will strengthen our
overall product portfolio in Europe, enabling us to deliver even more value
to our customers."
"ETANCO and Simpson have a very similar DNA as we've both built
our business on high-quality products and unmatched customer
service. Collectively, we can expand and optimize our European
footprint while introducing new products to our combined customer
base," said Ronan Lebraut, President of ETANCO Group.
"We are excited to welcome ETANCO employees to Simpson and look
forward to growing the business together," added Colonias.
For additional information about the acquisition, please
reference the Current Reports on Form 8-K filed with the Securities
and Exchange Commission (the "SEC") on December 29, 2021 and January 31, 2022 and the investor presentation
and press release issued on December 29,
2021, available on the Company's website
at ir.simpsonmfg.com as well as the Current Report on Form 8-K
filed with the SEC today, April 7,
2022.
Advisors
EC Mergers & Acquisitions and KPMG LLP
served as financial advisors to the Company on the ETANCO
acquisition. Jones Day served as
legal advisor to the Company and Wells Fargo Bank and MUFG Union
Bank provided committed debt financing in support of the
acquisition.
About Simpson Manufacturing Co., Inc.
Simpson
Manufacturing Co., Inc., headquartered in Pleasanton, California, through its
subsidiary, Simpson Strong-Tie Company Inc., designs, engineers and
is a leading manufacturer of wood construction products, including
connectors, truss plates, fastening systems, fasteners and
shearwalls, and concrete construction products, including
adhesives, specialty chemicals, mechanical anchors, powder actuated
tools and reinforcing fiber materials. The Company's common stock
trades on the New York Stock Exchange under the symbol "SSD."
Cautionary Note Regarding Forward-Looking
Statements
This press release contains forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995, Section 27A of the Securities Act of 1933, as
amended, and Section 2IE of the Securities Exchange Act of 1934, as
amended. Forward-looking statements generally can be identified by
words such as "anticipate," "believe," "estimate," "expect,"
"intend," "plan," "target," "continue," "predict," "project,"
"change," "result," "future," "will," "would, " "could," "can,"
"may," "likely," "potentially," or similar expressions that concern
our strategy, plans, expectations or intentions. Forward-looking
statements reflect management's evaluation of information currently
available and are based on the Company's current expectations and
assumptions regarding the Company's business; estimated and future
results of operations, business strategies, competitive position,
industry environment and potential growth opportunities and
synergies relating to the acquisition of ETANCO (the
"Acquisition"), the impact from the COVID-19 pandemic, the economy
and other future conditions. Although we believe that the
expectations and assumptions reflected in these forward-looking
statements are reasonable, forward-looking statements are subject
to inherent uncertainties, risk and other factors that are
difficult to predict and could cause our actual results to vary in
material respects from what we have expressed or implied by these
forward-looking statements. Specific factors that could cause
future results to differ from those expressed or implied by the
forward-looking statements include, but are not limited to, costs
related to the proposed Acquisition and the impact of the
substantial indebtedness incurred to finance the Acquisition; the
ability of the post-Acquisition company to meet its financial and
strategic goals, due to, among other things, its ability to grow
and manage growth profitability, maintain relationships with
customers and retain its key employees; the possibility that the
post-Acquisition company may be adversely affected by other
economic, business, and/or competitive factors; the Company's
ability to successfully integrate the acquired businesses or
generate expected cost savings and synergies from the Acquisition;
the ongoing impact of the COVID-19 pandemic and those factors
discussed in the Company's Annual Report for the year ended
December 31, 2021 filed with the
Securities and Exchange Commission ("SEC"), in previous Quarterly
Reports on Form 10-Q and in other filings and furnishings made by
the Company with the SEC from time to time. Other unknown or
unpredictable factors could also have material adverse effects on
the Company's performance. We caution that you should not place
undue reliance on these forward-looking statements, which speak
only as of the date of this press release and are not a guarantee
of future performance. We undertake no obligation to publicly
update any forward-looking statement, whether as a result of new
information, future developments or otherwise, except as may be
required by law.
Footnotes
(1) Reflects EUR to USD exchange
rate as of March 21, 2022.
(2) For the last 12 months ending September 30, 2021, in accordance with French
GAAP. Subject to change following conversion to IFRS or U.S. GAAP
accounting standards and reflects EUR to USD exchange rate as of
December 22, 2021.
CONTACT:
Addo Investor Relations
investor.relations@strongtie.com
(310) 829-5400
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SOURCE Simpson Manufacturing Co., Inc.