Maax Continues Acquisition Strategy

Maax Incorporated (Sainte-Marie-de-Beauce, Quebec) continues its strategy of quiet acquisition with the purchase of C.E. Cabinets (Laval, Quebec), the third largest manufacturer of kitchen cabinets in Canada. The cash and share deal is reported by Maax to exceed C$24 million. The deal closes on March 31, 1999, subject to regulatory approval. C.E. distributes kitchen and bathroom vanity products throughout Canada and in 27 U.S. states, and operates plants in Laval and Montreal. The firm employs 250, including regional distribution centres in Toronto and Vancouver. Maax employs 1950 people in 18 plants and 7 distribution centres throughout North America. The firm’s primary products are bathroom fixtures and accessories. Maax management projects sales of over C$ 450 million for the coming fiscal year, with last year’s five acquisitions contributing a significant proportion. Company sources claim that the C.E. buyout will have no effect on the firm’s acrylics operations, although Maax does manufacture acrylic sinks. Prior Maax purchases included a number of companies with thermoforming or glass-fibre capability, such as Coleman Spas, Bremen Glas, and Valley Fibrebath.