Jeld-Wen Prepares for IPO

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Jeld-Wen Holding has filed an amended S-1 form with the U.S. Securities and Exchange Commission (SEC) regarding its initial public offering (IPO). The company has yet to disclose how many shares that it will offer but it estimates that the offering will be valued up to $100 million. The company intends to list its shares on the New York Stock Exchange under the symbol JELD.

The underwriters for the offering are Barclays, Credit Suisse, Citigroup and JPMorgan.

This is one of the world’s largest door and window manufacturers, and it holds the number one position by net revenues in the majority of the countries and markets that it serves. The company designs, produces and distributes an extensive range of interior and exterior doors; wood, vinyl and aluminum windows; and related products for use in the new construction and repair and remodeling (R&R), of residential homes and, to a lesser extent, nonresidential buildings.

Jeld-Wen attributes its market leadership to well-established brands, broad product offering, world-class manufacturing and distribution capabilities, and long-standing customer relationships. The overall goal is to achieve best-in-industry financial performance through the rigorous execution of its strategies to reduce costs and improve quality through the implementation of operational excellence programs, drive profitable organic growth, pursue strategic acquisitions and develop top talent.

In the 12-month period ended June 25, 2016, net revenues totaled $3.5 billion, and net income was $142.5 million, with an adjusted EBITDA of $351.0 million. Adjusted EBITDA has increased by $197.8 million, or 129.1%, and net income has increased by $210.9 million from December 2013 to June 25, 2016. In the year ended December 31, 2015, door sales accounted for 65% of net revenues, window sales accounted for 24% of net revenues and other ancillary products and services accounted for 11% of net revenues.

The company intends to use the net proceeds from this offering to for working capital and other general corporate purposes, including sales and marketing activities, general and administrative matters and capital expenditures. The company did say that there are no specific plans yet for the proceeds.

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