Global flooring supplier Mohawk to purchase Pergo for $150m

A leading supplier of flooring for both residential and commercial applications, Mohawk Industries, Inc. has entered into an agreement to purchase laminate flooring manufacturer, Pergo, for $150 million (approx £94m).

Pergo is a manufacturer of premium laminate flooring with leading market positions in the U.S. and Europe. The company, which operates manufacturing facilities in Sweden and the U.S, was at the forefront of laminate flooring technology’s development back in 1977, and holds unique patents on design and installation methods.


Commenting on the acquisition, Jeffrey S. Lorberbaum, Mowhawk chairman and CEO, stated: “Pergo is a leader in laminate flooring in the U.S. and Nordic countries with premium value added strategies. This acquisition complements our speciality distribution network with Pergo’s strength in the U.S. DIY channel. In addition, Pergo leverages our geographic position and provides opportunities to enhance Unilin’s patent portfolio. The combination of the entities offers significant opportunities to optimise the assets of both companies while enhancing the design and product performance of both brands.”

In 2011, Pergo’s sales were approximately $320 million (£200m) in the U.S. and Europe. The business is expected to be accretive in the first year. This transaction is expected to close no later than first quarter of 2013 and is subject to customary governmental approvals and closing conditions.


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