Owens Corning buys glass reinforcement and composites unit, gets greater international presence

7/27/2007

Owens Corning will buy a glass reinforcement and composites business that will give it a greater presence in Russia, China and Mexico, the company said today.

The $640 million deal with Saint-Gobain includes 20 plants, including 12 glass fiber reinforcement plants, six fabrics plants and two plants that make both reinforcements and fabrics.

The unit had sales of about $900 million in 2006.

Owens Corning will sell plants in Belgium, Norway and Huntingdon, Pa., because of regulatory concerns.

Owens Corning President Dave Brown said the deal will help balance the company's exposure to downturns in the North American residential construction market.

The deal is expected to be finalized by the end of the year.

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