Simpson Thacher is advising Masonite International Corporation (“Masonite”) in its acquisition financing in connection with its entry into a definitive agreement under which Masonite will acquire PGT Innovations, Inc. (“PGT Innovations”) for a combination of cash and Masonite shares with a total transaction value of $3.0 billion. Masonite intends to fund the cash portion of the merger consideration with a combination of cash on hand, borrowings under existing credit facilities and the proceeds from new debt and/or equity financing. Masonite has received $1.8 billion in senior secured term loan commitments and $980 million in bridge loan commitments from Jefferies Finance LLC and Sumitomo Mitsui Banking Corporation in connection with the transaction, which is currently anticipated to close in the middle of 2024 subject to approval by the PGT Innovations shareholders, as well as the receipt of required regulatory approvals, and satisfaction of other customary closing conditions.
Masonite is a leading global designer, manufacturer, marketer and distributor of interior and exterior doors, door system components and door systems for the new construction and repair, renovation and remodeling sectors of the residential and non-residential building construction markets.
PGT Innovations manufactures and supplies premium windows, doors, and garage doors. Through its brands, PGT Innovations is also the nation’s largest manufacturer of impact-resistant windows and doors and holds the leadership position in its primary market.
The Simpson Thacher team includes Eli Isak and Mari Zaldivar (Banking and Credit); and Joe Kaufman, Tony Rim and Pia Figuerola (Capital Markets).