AZEK Acquires StruXure Outdoor, Inc. – PDF
AZEK Company Acquires StruXure Outdoor, Inc.
The acquisition strengthens AZEK’s position as an innovation leader in
the broader category of outdoor living
CHICAGO, Illinois, January 4, 2022 – AZEK Company Inc.(NYSE: AZEK) (“AZEK” or the “Company”), the industry-leading manufacturer of beautiful, low-maintenance, eco-friendly outdoor living products, including TimberTech® terrace, rail and accessories, and Versatex® and AZEK trim®, today announced the acquisition of StruXure Outdoor, Inc. (“StruXure”), a designer and manufacturer of innovative and high quality aluminum pergolas and sheds. The acquisition expands AZEK’s position in the broader outdoor living category and complements its already strong portfolio of products that benefit from AZEK’s material conversion expertise and age-old growth trends to long term industry.
“We are delighted to announce the acquisition of StruXure by AZEK as we expand into this natural market adjacency and continue to build leadership positions in the large and growing category of outdoor living,” said Jesse Singh, CEO of The AZEK Company. “Pergolas and cabins represent a nearly billion dollar market opportunity and StruXure, with our TimberTech products, adds another element to homeowners creating beautiful, durable, low-maintenance outdoor living spaces. ‘interview. ”
StruXure achieved net sales of approximately $ 50 million and Adjusted EBITDA margins of approximately € 50 million in calendar year 2021, and was appointed to Inc. 5000 The fastest growingPrivate companies list for the seventh consecutive year. “We believe this acquisition will leverage the collective strengths of StruXure and TimberTech, enabling synergies that will provide our customers with a more complete outdoor living solution, while increasing StruXure’s margins over time and ultimately of account, driving accelerated growth for AZEK and StruXure, ”Singh mentioned. “Due to the highly complementary nature of the two businesses, we expect StruXure’s business to grow in line or above the expected revenue growth rate of AZEK’s residential segment. We also intend to apply AZEK’s expertise in sourcing, operations, research and development, and materials science to enhance StruXure’s advanced product lines and deliver even more products. of the high quality outdoor living that customers expect from us, ”Singh continued.
This acquisition opens up new customer segments and enables increased cross-marketing and cross-selling to existing AZEK partners and customers looking to transform outdoor living spaces with beautiful, sustainable, low-maintenance solutions. StruXure’s innovative and smart pergolas and sheds are easy to maintain and will not fade, rot or rot like traditional wooden pergolas or
structure. The products are highly complementary to existing TimberTech exterior products, promote wood conversion and are already installed together by contractors across North America.
“As builders of custom decks, we have long believed in both brands because of their unique differentiation, beauty and functionality,” said Mark King, owner of Infinite Decks in Minnesota. “StruXure pergolas and sheds are very complementary to TimberTech and perfectly complement the outdoor living spaces our customers desire the most,” King added.
Scott Selzer, Founder and CEO of StruXure, said: “We are proud to have built a company with a strong brand known for its innovative and high quality products, and we are delighted with this partnership with AZEK. We believe StruXure will experience growth in ways we might not otherwise, particularly as we expand our position with existing loyal AZEK and TimberTech customers and explore other material conversion opportunities. ”
StruXure’s two existing product lines are made up of up to 50% recycled aluminum and support AZEK’s commitment to ESG management and its strategy to accelerate the use of recycled materials in the industry.
industry. In fiscal 2021, AZEK used 500 million pounds of junk and waste, about half of its goal of using one billion pounds per year by the end of 2026.
StruXure will operate as a wholly owned subsidiary of The AZEK Company and Selzer will continue to lead the day-to-day operations of StruXure. StruXure will become part of the Company’s residential financial reporting. AZEK Estimates StruXure to Generate Approximately $ 40 Million in Revenue for Rest of AZEK’s Fiscal Year 2022. Given the seasonality of StruXure’s business, contributions in the second fiscal quarter are expected to reflect a seasonal decline in revenues and breakeven profitability. Details of the acquisition, which closed on Wednesday, December 29, 2021, will be shared during AZEK’s earnings call in early February.
About AZEK® Society
The AZEK Company Inc. (NYSE: AZEK) is the industry leader in the design and manufacture of beautiful, low-maintenance, and eco-friendly exterior products including TimberTech®, Versatex® and AZEK decks Trim®. Consistently recognized as the market leader in innovation, quality and aesthetics, the products in AZEK’s portfolio are made from up to 100% recycled materials and primarily replace wood on the exterior of homes. , offering a durable, ecological and elegant solution for consumers. Leveraging the talents of its more than 2,000 employees and the strength of relationships across its value chain, The AZEK Company is committed to accelerating the use of recycled materials in the manufacture of its innovative products, preventing millions of pounds of waste go to landfill each year, and revolutionize the industry to create a more sustainable future. Headquartered in Chicago, Illinois, the company operates manufacturing plants in Ohio, Pennsylvania, and Minnesota, and recently announced the opening of a new plant in Boise, Idaho. For more information, please visit azekco.com.
About StruXure Outdoor, Inc.
StruXure Outdoor, Inc. is the premier designer and manufacturer of luxury pivoting louver pergolas and smart cabins. The company’s mission is to change the way people live by bringing out the interior through sustainable architectural automation and innovation. Pergola X, StruXure’s signature product, is the highest quality smart pergola system on the market. Made of extruded aluminum, it is functional, durable and beautiful. This is StruXure’s seventh consecutive ranking on Inc. 5000’s list of the fastest growing private companies in the United States. Headquartered in Dahlonega, Georgia, the company operates manufacturing facilities in Georgia and Nevada. For more information, please visit https://struxure.com/.
Caution regarding forward-looking statements
This press release contains or refers to certain forward-looking statements within the meaning of federal securities laws and subject to the “safe harbor” protections therein. Forward-looking statements are statements about future events and are based on our current expectations. These forward-looking statements may be identified by the words “believe”, “hope”, “expect”, “intend”, “will”, “target”, “anticipate”, “the objective” and similar expressions. Our forward-looking statements include, without limitation, statements regarding the anticipated growth and financial performance of StruXure, as well as the synergies and other benefits expected to AZEK from the acquisition of StruXure. The Company bases its forward-looking statements on the information available to it at the date of this press release, and does not undertake to publicly update or revise forward-looking statements, whether due to changed circumstances, new information , future events or otherwise. , unless otherwise required by law. Actual future events could also differ materially due to many factors that involve significant known and unknown risks and uncertainties, including, among others, the risks and uncertainties set forth under “Risk Factors” and elsewhere in the Company’s reports. on Form 10-K and Form 10-Q and the other risks and uncertainties discussed in any subsequent report that the Company files with the Securities and Exchange Commission from time to time. While we have attempted to identify material factors that could cause actual results or events to differ from those described in such forward-looking statements, there may be other factors that could cause actual results or events to differ. differ from those anticipated, estimated or forecast. In light of these uncertainties, investors are cautioned not to place undue reliance on our forward-looking statements.
Investor Relations Contact: Amanda Cimaglia 312-809-1093 firstname.lastname@example.org
Source: AZEK, Inc.
AZEK Company Inc. published this content on January 03, 2022 and is solely responsible for the information it contains. Distributed by Public, unedited and unmodified, on 04 January 2022 14:38:07 UTC.
Public now 2022
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