Saint-Gobain to Purchase Outstanding Shares of Sage Electrochromics
May 9, 2012

by Penny Stacey, pstacey@glass.com

Saint-Gobain has agreed to purchase all outstanding shares of Sage Electrochromics Inc., and will become the company's sole owner upon completion of the transaction, according to an announcement today from both companies.

Terms of the acquisition, which is expected to be completed by the end of June, have not been released.

"The acquisition of Sage will give us an additional product range," Xavier Moser, general manager of GlassSolutions for Saint-Gobain, told USGNN.com™ today. "We really believe in the product."

Sage had been working with Saint-Gobain "as a strategic partner and as an investor" for nearly two years, according to John Van Dine, the founder and CEO of Sage.

"It's a very smooth acquisition because we had been working with them and we've had strategic meetings on an ongoing basis," Van Dine told USGNN.com™ today. "We're closely in communication so it's quite a smooth transition. The organization here has a high regard for Saint-Gobain's organization and people, so we don't see any of those types of challenges that might happen with a different type of acquisition."

With the acquisition, Van Dine said Saint-Gobain will be investing $90 million into the company. In addition, the acquisition will allow the company to complete its new plant in Faribault, Minn., in which Sage itself had already invested approximately $150 million.

"It's highly automated, and really is a state-of-the-art facility," said Van Dine. The plant is scheduled to begin production in January 2013 and is expected to produce 3.2 million square feet of electrochromic glass annually.

In addition to the launch of the new facility, Van Dine says the acquisition is positive for both companies for several reasons. "It just made sense that at this point the company become completely owned by Saint-Gobain," he said. " … We've worked quite diligently over a long period of time and now we're starting to see the adoption and interest and specification of this product gain some real momentum in the marketplace, not just in North America but also in the international market."

Today, Van Dine appears optimistic not only for Sage, but for the industry as a whole. "This is exciting for the industry," he said. "We've been an industry of innovation, going back to the float line process, creating high-quality glass and delivering that to the construction industry. This is a continued technological evolvement and advancement for our industry."

 

This story is an original story by USGlass magazine/USGNN™. Subscribe to USGlass magazine.
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