Boise Cascade Expands Its Millwork Business With the Purchase of a Florida Door Shop

Rhea-AI Summary

Boise Cascade Company (NYSE: BCC) has acquired the assets of Parksite's door shop in Lakeland, Florida. The transaction, which only involves the Florida door shop among Parksite's 22 locations, makes this Boise Cascade's 15th millwork facility. The acquired facility specializes in premium entry and decorative glass doors with Therma-Tru® PrismaGuard® premium finish options.

Boise Cascade plans to expand the product offerings to include Simpson® and interior flush and molded doors. Together with their Milton, Florida facility, this acquisition enables the company to provide Therma-Tru products throughout Florida. The company currently operates 14 millwork locations in fast-growing markets, offering exterior and interior doors, frames, hardware, and pre-finishing options.

Positive

• Expansion of millwork business presence in the Southern region
• Strategic acquisition providing full Florida state coverage for Therma-Tru products
• Addition of 15th millwork facility in fast-growing markets
• Planned expansion of product offerings

Negative

• None.

Insights

Financial Analyst

The acquisition of Parksite's Florida door shop marks a strategic expansion of Boise Cascade's millwork business in the high-growth Southern market. This purchase strengthens BCC's distribution network, adding a 15th millwork location that complements their existing Milton, Florida facility. The deal enhances their product portfolio with premium Therma-Tru doors and enables statewide distribution capabilities across Florida. While financial terms weren't disclosed, the acquisition of a turnkey operation with established customer relationships and skilled workforce should accelerate BCC's market penetration. The timing is opportune given Florida's robust construction market and the operational synergies with their existing regional presence. This bolt-on acquisition aligns with BCC's strategic focus on expanding their building materials distribution segment, which historically generates higher margins than their wood products division.

Market Research Analyst

This acquisition positions Boise Cascade to capitalize on Florida's dynamic construction market, particularly in the high-margin millwork segment. The Lakeland facility, operational since 2017, provides an established foothold in central Florida, complementing BCC's northern Florida presence. The expanded product offering, including Simpson doors and interior options, should drive incremental revenue growth. Florida's residential construction market remains robust despite recent interest rate headwinds, supported by strong population growth and housing demand. The deal strengthens BCC's competitive position against regional players and enhances their ability to serve contractors and builders with a comprehensive door product portfolio. The retention of experienced staff should ensure operational continuity and maintain existing customer relationships.

BOISE, Idaho--(BUSINESS WIRE)-- Boise Cascade Company (Boise Cascade) (NYSE: BCC) announced today that it has purchased the assets of the Parksite door shop in Lakeland, Florida. Parksite currently has 22 locations, and this transaction involves their Florida door shop only. The remaining Parksite locations and products are not part of this agreement and will continue to be owned and operated by Parksite. The transaction was completed today.

The Parksite Florida door shop offers a large selection of premium entry and decorative glass doors featuring Therma-Tru^® PrismaGuard^® premium finish options. Boise Cascade will continue operations there and plans to expand the offerings to include Simpson^® and interior flush and molded doors.

Boise Cascade currently operates 14 millwork locations in some of the nation’s fastest-growing markets, specializing in exterior and interior doors, frames, hardware, and pre-finishing options. This new location will be the Company’s 15^th millwork location and, in conjunction with the Company’s millwork facility in Milton, Florida, it will enable them to provide Therma-Tru products throughout the entire state of Florida.

“This acquisition expands our millwork business in the Southern region enabling an even broader reach for our customers,” said Jeff Strom, Executive Vice President, Building Materials Distribution. “We are excited to bring the Parksite Florida door shop team on board.”

“Boise Cascade is a clear leader in the Therma-Tru door business,” said Ron Heitzman, CEO, Parksite. “We started the Lakeland door shop operation from scratch in 2017 and Boise Cascade’s acquisition will expand customer service capability as well as expand opportunity for the associates working in the business.”

About Boise Cascade

Boise Cascade is one of the largest producers of engineered wood products and plywood in North America and a leading U.S. wholesale distributor of building products. For more information, please visit our website at www.bc.com.

Forward-Looking Statements

Statements in this news release that are not purely historical facts or that necessarily depend on future events, including statements about anticipations, beliefs, expectations, intentions or strategies for the future, may be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Readers are cautioned not to place undue reliance on forward-looking statements. In addition, oral statements made by our directors, officers and employees to the investor and analyst communities, media representatives and others, depending upon their nature, may also constitute forward-looking statements. As with the forward-looking statements included in this release, these forward-looking statements are by nature inherently uncertain, and actual results may differ materially as a result of many factors. All forward-looking statements are based upon information available to Boise Cascade on the date this release was submitted. Boise Cascade undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Any forward-looking statements involve risks and uncertainties that could cause actual events or results to differ materially from the events or results described in the forward-looking statements, including satisfaction of required regulatory approvals, the integration of the acquired assets, the Company’s growth strategies, or the Company’s revenues and operating results being highly dependent on, among other things, new residential construction, commodity wood products prices and the economy. Boise Cascade may not succeed in addressing these and other risks. Further information regarding factors that could affect our financial and other results can be found in the risk factors section of Boise Cascade’s most recent annual report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) and in the other reports filed by the Company with the SEC. Consequently, all forward-looking statements in this release are qualified by the factors, risks and uncertainties contained therein.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241210089913/en/

Investor Relations Contact

Chris Forrey

investor@bc.com

Media Contact

Amy Evans

mediarelations@bc.com

Source: Boise Cascade Company

FAQ

What assets did Boise Cascade (BCC) acquire in Florida?

Boise Cascade acquired Parksite's door shop assets in Lakeland, Florida, which specializes in premium entry and decorative glass doors with Therma-Tru PrismaGuard finish options.

How many millwork locations does Boise Cascade (BCC) now operate after the Parksite acquisition?

After acquiring the Parksite door shop in Florida, Boise Cascade now operates 15 millwork locations across the nation.

What new products will Boise Cascade (BCC) add to the acquired Lakeland facility?

Boise Cascade plans to expand the Lakeland facility's offerings to include Simpson® and interior flush and molded doors.

How will the Lakeland acquisition impact Boise Cascade's (BCC) Florida coverage?

The acquisition, combined with their Milton facility, will enable Boise Cascade to provide Therma-Tru products throughout the entire state of Florida.