Mohawk Industries said it will acquire leading laminate flooring brand Pergo for $150 million.
The deal is expected to close during the first quarter of 2013 and gives Mohawk access to a brand that has become synonymous with laminate flooring over the years. Pergo’s 2011 sales in the U.S. and Europe were roughly $320 million according to Mohawk, who acknowledged the company as a leader in laminate flooring technology with unique patents on design and installation methods.
"Pergo is a leader in laminate flooring in the U.S. and Nordic countries with premium value added strategies. This acquisition complements our specialty distribution network with Pergo’s strength in the U.S. DIY channel," said Jeffrey S. Lorberbaum, Mohawk’s chairman and CEO. "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 optimize the assets of both companies while enhancing the design and product performance of both brands."
Mohawk is a leading supplier of flooring for both residential and commercial applications with some of the most recognizable brands in the industry including, Mohawk, Karastan, Lees, Bigelow, Durkan, Mohawk Home, Daltile, American Olean, Unilin and Quick-Step. Mohawk provides a premium level of service with its own trucking fleet and local distribution in the U.S. and maintains an international presence in Australia, Brazil, China, Europe, Malaysia, Mexico and Russia.