Livonia’s Masco Corp. Sells Kichler Lighting for $125 Million
Livonia-based Masco Corp., a renowned manufacturer of branded home improvement and building products, has agreed to sell its Kichler Lighting business to Kingswood Capital Management for a whopping sum of $125 million.
Kichler Lighting, with its headquarters in Ohio, offers a broad range of products such as residential and light commercial lighting products, ceiling fans, and landscape lighting, along with sophisticated LED lighting systems. The company, established in 1938, boasts an extensive catalogue of over 3,000 products that are sold through retail locations and commercial distributors.
The buyer, Kingswood Capital Management, is a private investment company based in California. Already owning Progress Lightning, another producer and distributor of similar lighting products as Kichler, Kingswood stands to gain significantly from this deal.
Commenting on the transaction, the CEO of Masco Corp., Keith Allman, mentioned, “Under Masco’s ownership, Kichler has undergone a series of transformations, which have generated efficiencies within its business, improved customer service, and enabled greater product innovation.” Furthermore, he stated that this business holds immense potential for future growth as part of an organization with a more concerted focus on lighting.
Allman expressed confidence that this transaction will be mutually advantageous for Kichler Lighting and Kingswood Capital Management. At the same time, he emphasized that the deal is also expected to drive greater value for Masco Corp. shareholders.
Masco Corp. possesses a wide portfolio of famous brands, including Delta, Behr, and HotSpring spas, which hold significant value in the home improvement and building products industry. This recent transaction is viewed as a strategic move for both Masco Corp. and Kingswood Capital Management as they continue to build upon their respective businesses.
The deal not only allows Kingswood Capital Management to strengthen its position in the lighting market but also enables Masco Corp. to hone its focus on the core businesses, potentially steering all parties involved towards a brighter future.
