Armstrong Completes Sale of Wood Flooring Segment
Lancaster, PA, January 2, 2019--Armstrong Flooring completed the sale of its wood flooring business to an affiliate of private equity investment firm American Industrial Partners on December 31, 2018.
Proceeds from the sale were approximately $90 million, net of closing costs, transaction fees and taxes. The transaction is subject to a customary post-closing working capital adjustment process, which is expected to be completed in the first quarter of 2019.
Completion of the sale permits Armstrong Flooring to intensify its focus on the fastest-growing parts of the flooring market, including Luxury Vinyl Tile (LVT) and rigid core, as well as a wide range of resilient categories such as Vinyl Composition Tile (VCT), resilient sheet and its Diamond 10 line of products. This exclusive focus on resilient flooring is expected to strengthen the company’s product and end market mix while improving its ability to innovate and enhance the profitability of its portfolio.
Armstrong Flooring, which spun off of Armstrong World Industries in early 2016, was once the U.S.-leader in hardwood flooring. The company’s dominance in the wood flooring business culminated in 1998 with the acquisition of Triangle Pacific Corp., which gave the company 46% of hardwood flooring marketshare as well as the Bruce, Hartco, Robbins, Premier and Traffic Zone brand names.
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