Tecnoglass Acquires E.S. Windows for $13 Million
Colombia-based Tecnoglass, Inc. recently announced its acquisition of Miami-based E.S. Windows, LLC.
Colombia-based Tecnoglass, Inc. recently announced its acquisition of Miami-based E.S. Windows, LLC (ESW), which is reportedly the largest importer and reseller of Tecnoglass products in the U.S. The acquisition reportedly was completed for a total purchase price of $13 million, consisting of 734,400 ordinary shares at a value of approximately $8.7 million based on the closing price of Tecnoglass shares on December 2, 2016, approximately $2.3 million in cash, and approximately $2 million related to the assignment of certain account receivable assets. The determination of the purchase price, which implies an enterprise value that approximates five times the 2015 normalized adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of ESW, was supported by an independent valuation conducted by an independent investment bank.
“The consolidation of ESW marks another milestone in our efforts to generate shareholder value,” said José M. Daes, CEO of Tecnoglass. “This acquisition further enhances our vertically integrated operations and allows us to more efficiently serve our rapidly expanding U.S. customer base. We are especially pleased to complete this transaction on favorable terms to Tecnoglass, which we expect to be immediately accretive to earnings. With this transaction complete, we believe we are now better situated to continue growing revenues, strengthening our operations and investing capital wisely to produce attractive returns.”