American Industrial Partners ends long Cabinetworks hold through sale to Platinum Equity


Private equity major Platinum Equity has agreed a buyout of The Cabinetworks Group from American Industrial Partners, GIC and other equity holders.

Financial details of the deal were not disclosed, but a Bloomberg report from January suggesting AIP was considering a sale put the company’s valuation at up to $3.5bn.

Kitchen and bath cabinet specialist Cabinetworks produces products under brands including KraftMaid, Medallion, Smart, Echelon, Master WoodCraft and Cabinets 2000.

Platinum Equity has previously invested in building products businesses including Interior Logic Group, the largest US provider of interior design and finish solutions for the homebuilding industry, and PrimeSource, a national distributor of specialty building materials including fasteners serving the new-construction and remodeling markets.

Platinum partner Jacob Kotzubei said, “Cabinetworks has a comprehensive portfolio of highly-respected, fast-growing brands, a strong leadership team and a proven track record for growth.

“The company’s leading position in the cabinets space, combined with Platinum Equity’s operational toolkit and M&A resources, make Cabinetworks a great fit for our portfolio.”

AIP bought ACProducts in 2012, and rebranded the business last year alongside the acquisition of Masco Cabinetry.

Citi served as sole M&A advisor to Platinum Equity. Kirkland & Ellis is serving as legal advisor to Platinum Equity. BofA Securities will lead the debt financing for Platinum Equity and Cabinetworks.

Platinum hit a $10bn hard cap close for its latest global flagship fund, Platinum Equity Capital Partners V, in January last year.

The fund, which was oversubscribed had initially targeted $8bn of capital commitments.

Other recent deals from the firm include buying healthcare supply chain company NDC from fellow private equity house Court Square Capital Partners.

Copyright © 2021 AltAssets

Get the latest PE News & Research delivered to your inbox every morning