A number of recent acquisitions by major woodworking businesses indicate a general sense of economic optimism across the woodworking industry. For used woodworking machines suppliers to help customers understand how newly purchased machines will hold up long term, suppliers need to be aware of how the industry is changing. Recent transactions among prominent woodworking organizations include the following:
PPG Industries paid $1.05 billion dollars on December 14th, 2012 to acquire Akzo Nobel’s North American architectural coatings business. This acquisition makes PPG Industries the number one architectural finishes business in Canada and the Caribbean, and gives the company the second most market share in the United States behind Sherwin-Williams. The most interesting comment about the acquisition came from top PPG Industries executives who said the acquisition was motivated in part by a sense that the United States housing and construction industry are nearing recovery.
Sherwin-Williams, the market leader in wood finishing, has also been preparing for an improving housing and construction industry. The firm purchased Mexican company Consorcio Comex S.A. de C.V. on November 12, 2012. Comex has been around since the 1950s, and currently operates sixteen paint and wood finishing manufacturing plants—eight in Mexico, five in the United States, and three in Canada. Once the economy improves, Sherwin-Williams will be able to use these newly acquired manufacturing plants to ensure production can keep up with market demand.
Used woodworking machines suppliers recognize that woodworking shops need to locate a dependable supplier of wood, particleboard, and other panels. Georgia-Pacific took a step on December 13, 2012 to make sure it is capable of providing shops with the wood resources they need. The company acquired Temple-Inland from International Paper in a deal that included control of Temple-Inland’s sixteen wood and panel manufacturing facilities. These holdings include five solid wood mills, four particleboard plants, two MDF plants, a fiberboard plant, and four gypsum wallboard plants. Georgia-Pacific hopes these acquisitions will prevent delays when orders by woodworking shops increase.
Another noteworthy acquisition occurred on November 12, when Panel Processing announced it had purchased Modular Wood Systems. The deal centered around the 87,000-square-foot Modular Wood Systems production facility in Claudville, Virginia that is one of six locations owned by the custom flat panel fabricator and wood coating specialist. This acquisition will provide more resources for Panel Processing to utilize in its Slatwall business, and will help the company provide better service in the mid-Atlanta geographical area.
The previously mentioned are a few of the many notable acquisitions that took place in the woodworking industry. Given that so many industry leaders expect the woodworking business to pick up in the next year, now is the perfect time to expand the capabilities of one’s woodworking shop. Woodworking machinery liquidation sales are a perfect opportunity for shops to acquire necessary machines inexpensively, and The RT Machine Company has a woodworking machinery liquidation page with great deals on planers, routers, and other machines manufactured by industry leaders. Thanks to our diverse inventory, RT Machine can find a solution to fit any price range, and we are confident our company is more qualified than other used woodworking machines suppliers to help your shop expand production or consolidate its fleet.
