First Arch, then Vitro America, now UGC. Who's next?
First, Sun Capital Partners bought Arch Aluminum & Glass Co. Then, a Sun Capital affiliate purchased United Glass Corp. With a $5 billion investment fund at its disposal and an interest in "acquiring or partnering with other market-leading companies in the architectural glass sector," the question now is: Who's next?
Sun Capital isn't the only private investment firm eying the glass industry. After an attempt to purchase Arch back in 2009, Grey Mountain Partners resurfaced this spring with the announcement that it would purchase the assets of Vitro America and Super Sky Products.
Emerging from all of this buying activity is a new type of competitor: the private investment firm.
What effect will this new breed of glass company have on the industry? In a recent interview, Glass Magazine asked Russ Huffer, chairman and CEO of Apogee Enterprises Inc. and acting president of Viracon, for his take on non-glass companies competing against industry mainstays. His response: "Troubled economic times make for change. It would be presumptuous of me to say that a new view or new ideas cannot be successful. Not being familiar with [the buying companies], I cannot comment, but usually people with money have great business sense, and that is what I expect."
What do you expect?
Chase is editor of Glass Magazine. Write her at email@example.com.