Vitro completes acquisition of Pittsburgh Glass Works for US$ 310 million
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Vitro, S.A.B. de C.V., a North American glass producer headquartered in Monterrey, Mexico, announced it completed the acquisition of Pittsburgh Glass Works' (PGW) automotive original equipment manufacturer (OEM) glass business from LKQ Corporation. The agreement was announced last December for US$ 310 million, free of cash and debt.
The final acquisition price is subject to potential post-closing purchase price adjustments, which are typical for these types of transactions.
Headquartered in Pittsburgh, PGW operates seven manufacturing plants, two satellite facilities and two float glass furnaces in the U.S. It also has one manufacturing plant in Poland and owns an equity participation in two joint ventures, one each in Mexico and China.
The acquisition, combined with the purchase of PPG's former flat glass business completed last October, expands Vitro's float glass manufacturing and fabrication facilities. The transaction solidifies the company's position as the leading glass manufacturer in North America.
Adrian Sada Cueva, Chief Executive Officer of Vitro, said the addition of PGW's original equipment business will enable the company to serve a greater number of customers in the automotive glass business and increase its global coverage.
"The experience and state-of-the-art technology PGW brings to our business will enhance our technical, research and development capabilities," he explained. "It will further strengthen our company and create a business staffed by talented employees and strategically positioned for growth."
Joe Stas, Chief Executive Officer of PGW, said the transaction represents the beginning of an exciting new era for PGW associates and stakeholders.
"Vitro has a sterling reputation throughout the industry as a highly competent and capable glass manufacturer, based on more than a century of glass-making experience across the automotive, architectural and glass container industries. By harnessing the strength of a newly expanded workforce and their technical capabilities, Vitro is committed to creating a next-generation auto glass company focused on innovation and world-class customer service," said Stas.
The combined automotive glass business will unite its research and development capabilities with those of Vitro Architectural Glass, PPG's former flat glass business unit. The combined staff of engineers and scientists will work primarily at the Vitro Glass Technology Center in Harmar Township, Pennsylvania, near Pittsburgh.