AZEK Acquires StruXure Outdoor For Undisclosed Sum

AZEK Co Inc AZEK has acquired StruXure Outdoor, Inc., a designer, and manufacturer of aluminum pergolas and cabanas. Financial terms were not disclosed.
The transaction expands AZEK's position in the broader outdoor living category.
"Pergolas and cabanas are a nearly $1 billion market opportunity and StruXure, along with our TimberTech products, adds another element to homeowners' creation of beautiful, low maintenance, and sustainable outdoor living spaces", commented AZEK CEO Jesse Singh.
StruXure's founder & CEO, Scott Selzer, will continue to lead day-to-day operations. StruXure will become part of AZEK's Residential segment financial reporting.
AZEK expects StruXure to generate ~$40 million of revenue for the remainder of AZEK's FY22. StruXure delivered net sales of ~$50 million and mid-teens Adjusted EBITDA margins in the calendar year 2021.
Given the seasonality of StruXure's business, the company expects contributions to fiscal Q2 to reflect seasonally lower revenue and break-even profitability.
AZEK held cash and equivalents of $250.5 million as of September 30, 2021.
Price Action: AZEK shares are trading higher by 1.04% at $46.08 on the last check Tuesday.