- December 12, 2016
VENICE — Impact resistant window and door manufacturer PGT Inc. acquired Miami-based CGI Windows & Doors Holdings Inc. in a $111 million deal.
CGI, according to a release, will now become a wholly-owned subsidiary of PGT, one of the largest companies in the Sarasota-Bradenton market. CGI will continue to operate and manufacture products in Miami and remain a separate brand in the marketplace.
The deal, expected to close in September, was announced after the markets closed July 28. PGT will pay for the transaction with cash on hand and from part of a $235 million long-term loan from Deutsche Bank and Keybanc, according to the release. The bank financing, PGT says, will also be used to repay existing debt and for general corporate purposes.
PGT executives say the deal will accomplish several goals for the firm, which had $239.3 million in 2013 revenues. Those include: enhancing its leadership position in the growing impact-resistant window and door industry; strengthening its ability to compete against national suppliers and other storm protection systems; diversifying and broadening its brand portfolio, including the addition of impact resistant entry doors; and expanding its manufacturing capabilities.
“The acquisition of CGI Windows & Doors is consistent with our stated growth plan to acquire revenue generating products that leverage our core capabilities,” PGT Chairman and CEO Rod Hershberger says in the release. “More importantly, as we learned more about CGI and met with their team, it became clear that our respective missions and
cultures are really well aligned.”
CGI, a portfolio company of Cortec Group Fund, IV, LP, was founded in 1992. It has more than 200 employees, who work out of its Miami headquarters and manufacturing facility. Product lines include the Estate Entrances, Sentinel by CGI, Estate Entrances Collection, Commercial Series and Targa by CGI impact resistant products. Founded in 1980, PGT has 1,700 employees. The firm broke ground on an expansion project in January, a $15 million glass operations plant down the road from its main facility.