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Owens Corning adds siding
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May 28, 1997: 11:05 a.m. ET
Vinyl siding maker Fibreboard bought by Owens Corning in $635 million deal
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NEW YORK (CNNfn) -- Owens Corning said Wednesday it will acquire Fibreboard Corp. in a building materials merger worth approximately $635 million.
Owens Corning said the agreement calls for it to tender a cash offer of $55 per share for all the outstanding shares of Fibreboard. The company will then become a wholly owned subsidiary of Owens Corning.
The Toledo, Ohio-based Owens Corning is a producer of glass fiber composites and other building materials and posted sales of $3.8 billion in 1996.
The merger is Owens Corning's sixteenth acquisition during the last three years and is also its largest. Those deals have accounted for $450 million of the company's sales last year.
With the Fibreboard merger, Owens Corning said it was looking to expand the scope of its products, especially in vinyl siding, one of Fibreboard's main products.
"Merging Fibreboard's businesses with Owens Corning will substantially strengthen our offering of building materials systems and make us a major producer and marketer of vinyl siding," said Owens Corning Chairman Glen H. Hiner.
Other Fibreboard additions to Owens Corning will include manufactured stone and industrial insulation products.
Fibreboard, headquartered in Dallas, has production facilities throughout the South, including Georgia, Missouri, North Carolina and also in Canada. It also operates more than 130 distribution centers in 32 states. The company employs approximately 3,400 and maintains 21 manufacturing plants.
The deal is expected to be completed in the third quarter of this year provided it meets the customary regulatory conditions.
--Randy Schultz
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Owens Corning
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