New York — In a significant move within the building products sector, U.S. cabinetry manufacturers MasterBrand Inc and American Woodmark Corp announced a merger through an all-stock deal valued at $3.6 billion, including debt. The consolidation reflects ongoing shifts in a highly fragmented industry.
Both companies have faced challenges over the past year, with their stock prices declining by nearly 50 percent. The downturn is largely attributed to rising interest rates since 2022, which have dampened building activity by increasing borrowing costs for developers and homeowners alike.
The merger aims to strengthen the combined company’s market position and operational efficiency, enabling it to better navigate a competitive and evolving market environment.
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