January 16, 2024

Enverge

HOLCIM BUILDING ENVELOPE INTRODUCES ENVERGE SPRAY FOAM

PR Newswire

Tue, January 16, 2024 at 10:07 AM EST·3 min read

Gaco SprayFoam and SES Foam brands have merged under the new Enverge Spray Foam brand name and identity.

NASHVILLE, Tenn., Jan. 16, 2024 /PRNewswire/ — Today, Holcim Building Envelope announces the launch of Enverge^®, an innovative, sustainability-focused spray foam insulation brand with a mission of changing the way the world insulates, creating more energy-efficient buildings and healthier living environments.

Enverge unites two market-leading spray foam brands, Gaco^™ SprayFoam and SES^™ Foam, bringing together over 40 years of experience in providing high-performance spray foam insulation, technical support, building science expertise, and training to the market.

“Enverge has the products, resources, people, expertise, and conviction to become the market leader in the spray foam industry,” says Charles Valentine, President of Enverge Spray Foam. “As the previous owner of the legacy SES Foam brand, it’s rewarding to see Holcim’s commitment to this vision under the Enverge brand. We believe that our customers’ success is our success, and we are committed to serving them with products they can trust, expert guidance they can rely on, and a partnership invested in their success.”

Foundational Beliefs

The new Enverge brand is built on three foundational beliefs:

• Spray foam is one of the best insulating materials due to its superior performance properties, not only because of its high thermal efficiency but also its ability to be a highly effective air, moisture, and vapor barrier. For this reason, Enverge is on a mission to change the way the world insulates, growing spray foam share within the residential and commercial insulation industries.
• The success of Enverge depends on our customers’ success. We lift them up through extraordinary support, collaboration, and training by sharing our knowledge and expertise.
• The Enverge team has top experts in R&D and building science, creating innovative, sustainable products and solutions for our partners.

“We are proud to continue the legacy of excellence of Gaco SprayFoam and SES Foam under the Enverge brand name,” said Jamie Gentoso, President, Holcim Building Envelope and Global Head, Holcim Solutions & Products. “Alongside the portfolio of Holcim Building Envelope brands, Enverge provides high-performance insulating solutions to support Holcim’s mission of building progress for people and the planet. Enverge is a critical piece of our portfolio, providing the construction community with the premier insulating material, tools, and training to build more energy-efficient buildings.”

For more information, please visit www.envergesprayfoam.com.

Note: Only the Gaco SprayFoam name will transition to Enverge Spray Foam. The Gaco portfolio of roof foam and coatings, decking, and waterproofing solutions will remain unchanged, and Gaco will continue to lead and expand in the commercial construction space.

About Holcim Building Envelope
Holcim Building Envelope delivers high-performance solutions that make the entire building envelope more sustainable for customers around the world. We are committed to raising the standards of building solutions by delivering superior quality and innovation while addressing industry needs. Our offerings cover a comprehensive range of residential and commercial roofing, wall and lining systems, insulation, and waterproofing solutions for a variety of industries from construction to marine and aerospace. Our powerful portfolio of brands includes Enverge, Gaco, GenFlex, Malarkey Roofing Products, Duro-Last, and Elevate, the new name for Firestone roofing, wall and lining systems. Visit HolcimBE.com to learn more.

About Holcim
Holcim builds progress for people and the planet. As a global leader in innovative and sustainable building solutions, Holcim is enabling greener cities, smarter infrastructure and improving living standards around the world. With sustainability at the core of its strategy, Holcim is becoming a net zero company, with its people and communities at the heart of its success. The company is driving circular construction as a world leader in recycling to build more with less.

https://finance.yahoo.com/news/holcim-building-envelope-introduces-enverge-150700582.html

January 16, 2024

Leffett & Platt Restructuring in Bedding Products

LEGGETT & PLATT ANNOUNCES RESTRUCTURING PLAN TO DRIVE IMPROVED PERFORMANCE AND PROFITABLE GROWTH

Jan. 16, 2024 7:00 AM ETLeggett & Platt, Incorporated (LEG)

CARTHAGE, Mo., Jan. 16, 2024 /PRNewswire/ —

• Continuing to adapt Bedding Products strategy to advance innovative, higher-value content and provide additional product solutions for our customers
• Optimizing manufacturing and distribution footprint to enhance the efficiency of our business while maintaining ability to service our customers
• Executing plan initiatives expected to generate $40 to $50 million of annualized EBIT benefit when fully implemented in late 2025
• Withdrawing company’s long-term financial targets
• Recording an estimated $450 million long-lived asset impairment charge in 4Q23 related to prior year acquisitions in Bedding Products segment

Diversified manufacturer Leggett & Platt (LEG) announced that it is implementing a Restructuring Plan primarily in its Bedding Products segment and to a lesser extent, in its Furniture, Flooring & Textile Products segment. In response to evolving markets, the Company is taking actions to improve manufacturing and distribution efficiency, advance its product strategy, and further support customer needs. These actions are expected to generate $40 to $50 million in EBIT benefit on an annualized run-rate basis when fully implemented in late 2025.

President and CEO Mitch Dolloff commented, “We are taking actions to create a more focused, agile organization with a portfolio of products and operating footprint aligned with the markets we serve. The bedding market has experienced unprecedented change in recent years and the competitive landscape has continued to evolve. Reshaping our Bedding Products strategy is expected to better position us for long-term success as the leading provider of bedding solutions across the value chain. In addition, optimizing our operating footprint in both Bedding Products and Furniture, Flooring & Textile Products will reduce complexity and enhance the efficiency of our business. Looking forward, we expect to advance key product growth, improve profitability, and drive enhanced value for customers and shareholders.”

OVERVIEW OF INITIATIVES
The major Bedding Products initiatives that are part of the Restructuring Plan include:

• Refocusing Strategy: We are continuing to reshape our Bedding Products business to focus on innovative, higher-value content, driven by customer and end-consumer needs. We are proud of our long history of providing product solutions our customers value and see further opportunities to do so in both innersprings and specialty foam, from components to private label finished goods.
• Optimizing Manufacturing and Distribution Footprint: We plan to consolidate certain locations across the Bedding Products segment, reducing our manufacturing and distribution footprint of 50 facilities to approximately 30 to 35 facilities. Creating a new and more efficient regional distribution network will support our ability to maintain sufficient manufacturing capacity in fewer, higher-output facilities to effectively serve our customers and better align with anticipated future market demand. These actions should allow us to integrate our specialty foam and innerspring capabilities while maintaining market- leading service and product quality levels and improving overall efficiency.

The initiatives outlined above are expected to enable profitable growth through expanded product capabilities and increased content at attractive price points, reduce costs, and create shareholder value.

In Furniture, Flooring & Textile Products we plan to consolidate a small number of production facilities in Home Furniture and Flooring Products to better align capacity with regional demand and drive operating efficiencies. 

FINANCIAL IMPACT
In total, the initiatives are expected to reduce annual sales by approximately $100 million and generate $40 to $50 million in EBIT benefit on an annualized run-rate basis when fully implemented in late 2025, with some of the benefit starting to be realized in the second half of 2024. Additionally, we anticipate receiving approximately $60 to $80 million in net cash proceeds from the sale of real estate associated with the initiatives, with transactions largely complete by the end of 2025.

We expect to incur restructuring and restructuring-related costs of $65 to $85 million, of which approximately half are anticipated to be incurred in 2024 and the remainder in 2025. This includes $30 to $40 million in cash costs, the majority of which are anticipated to be incurred in 2024. In the first half of 2024, we anticipate $20 to $25 million of restructuring and restructuring-related costs (approximately half in cash costs).

LONG-TERM FINANCIAL TARGETS
In connection with the Restructuring Plan, we are withdrawing our previously stated Total Shareholder Return goal of 11–14% and financial targets, including revenue growth, EBIT margin, and dividend payout ratio. Revised financial targets will be issued at a future date. We are not changing our objectives of maintaining our investment grade debt ratings and our current dividend practices.

FOURTH QUARTER 2023 IMPAIRMENT CHARGE
In addition, but unrelated to the Restructuring Plan, we are impairing an estimated $450 million of long-lived assets (primarily intangibles) associated with prior year acquisitions in the Bedding Products segment. Prolonged weak demand and changing market dynamics have created disruption and financial instability for some of our customers. As a result, recent efforts by certain customers to improve their financial position are expected to reduce our future sales and earnings. We are not otherwise updating guidance for, or reporting upon, our fourth quarter 2023 or full year 2023 financial results. These financial results and 2024 full year guidance will be released on February 8, 2024.

https://seekingalpha.com/pr/19591410-leggett-and-platt-announces-restructuring-plan-to-drive-improved-performance-and-profitable?mailingid=34011317&messageid=2900&serial=34011317.388

January 10, 2024

Q4 Chemical M&A Activity

Chemical Deal Results

http://www.chemicaldeals.com/Results.aspx?searchtext=&quarter=4th+Quarter+2023

December 21, 2023

Recticel to Acquire REX

Recticel acquires REX to create a powerful Western European growth platform for insulated panels

Regulated information, Brussels, 21/12/2023 — 06:55 CET, 21.12.2023

After the acquisition of TRIMO in April 2022, Recticel announces a second major step in deploying its strategy to become a pan-European leader in the insulated panels segment.

Recticel has entered into a final agreement with Mr. Michel Verhelst, founder, to acquire 100% of REX PANELS & PROFILES SA.

REX, located in Tournai, Belgium, is specialized in the production of PIR and mineral wool insulated panels for the construction industry.

REX has a total recently constructed capacity of over 4 million m², utilised at 50%, with room for further expansion, and is perfectly located in Belgium to serve Western European markets.

The acquisition will allow Recticel Group in due course to:

• reinforce TRIMO’s premium strategy in Western Europe whilst doubling current production capacity;
• provide TRIMO access to the PIR insulated panels category, perfectly complimentary to its mineral wool insulated panels;
• accelerate the execution of REX’s growth strategy in the volume segment of the market;
• unlock substantial technical and commercial synergies.

Jan Vergote (CEO Recticel Group): “The acquisition of REX strengthens Recticel’s core purpose to become a leader in high-end sustainable construction through smart insulation solutions. We are impressed with the achievements of Mr. Verhelst and the REX team and look forward to start intensive cooperation upon closing.’’

Michel Verhelst (CEO REX): “Joining forces with the Recticel Group marks an important milestone for REX as it allows the company to grow and expand further. I am excited about the many possibilities and successes that lie ahead for REX and its employees.”

The transaction has an enterprise value of EUR 70 million in cash, with an earn-out mechanism linked to the EBITDA performance over 2024. The valuation is based on the market value of the acquired production assets, including a newly constructed production site that is planned to start up in Q1 2024.

The transaction is expected to be completed in January 2024.

https://www.recticel.com/recticel-acquires-rex-create-powerful-western-european-growth-platform-insulated-panels.html

December 20, 2023

BASF Names New CEO

BASF picks company veteran Kamieth to become CEO amid challenges

Story by By Ludwig Burger and Patricia Weiss  •  7h

By Ludwig Burger and Patricia Weiss

FRANKFURT (Reuters) -BASF appointed company veteran Markus Kamieth on Wednesday to become CEO next year, amid an organisational overhaul of the chemicals giant, grappling with falling earnings and sluggish economic growth in its European home markets.

In a statement, the German company said Kamieth would replace CEO Martin Brudermueller in April, with the latter having previously been appointed to become non-executive chairman of carmaker Mercedes-Benz .

Chief technology officer Melanie Maas-Brunner would not renew her current contract beyond Jan. 31, BASF added.

The board had considered both Kamieth and Maas-Brunner for the top job, sources familiar with the matter have told Reuters, though media reports had described Kamieth as frontrunner.

“A few months ago, I made the decision not to extend my board contract and to pursue a new professional direction,” Maas-Brunner said on the website LinkedIn.

The choice of CEO is in keeping with a BASF history of recruiting top executives from its own ranks.

The transition comes after BASF renewed its commitment to build a 10-billion-euro ($11-billion) chemical complex in southern China to tap into faster growth there and cut what it has called disproportionate reliance on subdued European home markets.

Sources have told Reuters that both Kamieth and Maas-Brunner have supported BASF’s investment focus on China, which runs counter to German government efforts to persuade companies to reduce their dependence on the country.

Arne Rautenberg, portfolio manager at mutual funds firm Union Investment, said the CEO pick had been overdue and Kamieth would have to tackle considerable challenges.

In October, BASF had mapped out further cost cuts in Europe, scaled-back investments and earnings projections, citing an “extremely uncertain” global economic outlook.

In addition, BASF is preparing to convert its agriculture, battery materials and coatings businesses into autonomous units.

Among BASF’s major growth initiatives, the China investment is rivalled only by a push to build a global manufacturing network of battery materials to cater to the fast-growing electric vehicles industry.

“BASF must transform itself to achieve regional cost leadership in basic chemicals and global leadership in specialty chemicals,” said Union’s Rautenberg.

https://www.msn.com/en-ca/money/topstories/basf-picks-company-veteran-kamieth-to-become-ceo-amid-challenges/ar-AA1lMDBH