Recently, Masco Corporation announced that it has reached a final agreement to sell Kichler Lighting to an affiliate of Kingswood Capital Management, a private equity firm based in Los Angeles, California, USA.
Headquartered in Ohio, Kichler Lighting is a global leading luminaire manufacturer offering decorative residential lighting, landscape lighting products, LED lighting systems, and ceiling fans, with products covering consumer and professional distribution channels.
Kingswood will acquire Kichler for approximately $125 million (about RMB 886 million). This private equity firm also owns Progress Lighting, a company similar to Kichler that provides decorative lighting solutions for residential and light commercial applications. Masco President and CEO Keith Allman stated: "Under Masco's leadership, Kichler has undergone a series of transformations that improved operational efficiency, enhanced customer service, and promoted product innovation. Looking ahead, we believe this business has greater potential for future growth as part of an organization more focused on lighting.""We believe this transaction will be mutually beneficial for Kichler Lighting and Kingswood Capital Management." The transaction is expected to close by the end of this year, subject to customary closing conditions and regulatory approvals. It is reported that Masco Corporation is a global leader in the design, manufacturing, and distribution of branded home improvement and building products, headquartered in Livonia, Michigan, with brands including Behr Paint Company, Brasstech Inc., and Delta Faucet Company.This divestiture comes six and a half years after Masco acquired Kichler in 2018 for approximately $550 million. At the time, President and CEO Allman stated: "We are excited about Masco's entry into the $6 billion U.S. residential lighting industry, and Kichler Lighting is a strong strategic fit. Kichler's products share many of the same customers as numerous other Masco brands, complementing our current offerings while strengthening our relationships with these customers."
