Masonite to use existing loan to fund acquisitions in Europe, Asia

By Sara Rosenberg

New York, May 3 - Masonite International Corp. plans to use its existing senior credit facility to finance two acquisitions, one in Eastern Europe and one in Asia, for a total of $52 million.

In Eastern Europe, the company has agreed to acquire 75% of Kronodoor from Kronospan Holdings Ltd. for $27 million. The transaction is expected to close in the second quarter of 2004 following local regulatory review, according to a company news release.

In Asia, the company has signed a definitive agreement to acquire a 50% equity interest in a wood composite molded door facing manufacturing facility from a subsidiary of Samling Strategic Corp. for $25 million. The transaction is expected to close in the second quarter of 2004 following local regulatory review.

"The two transactions and related partnerships provide Masonite with significant opportunities in the world's emerging high-growth markets. They will enable us to take advantage of the expected high penetration rate of wood composite molded doors and door components," said Philip S. Orsino, president and chief executive officer, in the release.

Masonite is a Mississauga, Ont., building products company.

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