Masco Corp. Announces Acquisitions
TAYLOR, Mich. (AP) _ Home improvement and building products maker Masco Corp. announced Wednesday the acquisition of two unrelated installation-services in a cash-and-stock deal.
Based in this Detroit suburb, Masco said the deal for BSI Holdings Inc. and Davenport Insulation Group will cost a combined $435 million in cash and assumed debt, as well as 15 million shares of Masco common stock, or about $285 million based on Masco’s Wednesday stock price. The company did not break out the amount of debt it would assume.
BSI and Davenport have combined annualized 2000 sales of more than $700 million.
Masco said the acquisitions will be modestly accretive to earnings next year.
BSI, the larger of the two companies and based in Carmel, Calif., provides building products and installation services in the United States and Canada. That transaction should be closed in January, Masco said.
The deal for Davenport Insulation Group, an insulation-installation business based in Upper Marlboro, Md., was closed in October.
``The addition of these two fine companies will expand both our geographic coverage and the range of building products and installation services that we can offer to our customers,″ Richard Manoogian, Masco’s chairman and chief executive, said in a statement.
Masco shares closed Wednesday at $18.94, down 31 cents, on the New York Stock Exchange.
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