Miter Brands CEO Matt DeSoto shared insights into the recent $3.1 billion acquisition of PGT Innovations, highlighting potential future growth within the industry.
Matt DeSoto, CEO of Miter Brands, anticipates a favorable turn in the market for new homes, rebuilds, and renovations in 2025, following the presidential election. This optimism could significantly bolster the windows and doors sector in particular. Reflecting on his 11 years as CEO, DeSoto’s journey hasn’t always revolved around acquisitions. Initially, the company, based in Pennsylvania, focused on cultivation from within, but his perspective has evolved toward strategic expansion.
In 2019, Miter Brands took a significant leap by acquiring Milgard Windows, doubling its workforce and operations. This move prefaced the recent acquisition of PGT Innovations, based in Venice, highlighting a continued strategy of growth through strategic deals. The acquisition was a complex process involving nine offers over several years, underscoring its importance to Miter’s expansion goals. With this acquisition, the firm’s operations grew to encompass around 20 sites and 10,000 employees.
The integration of PGT Innovations poses challenges, as any large-scale merger does, especially concerning layoffs and headquarters decisions. Recent layoffs at PGT’s NewSouth Windows unit in Tampa, linked to a product line discontinuation, exemplified communication missteps. DeSoto acknowledged these challenges, emphasizing the importance of over-communication in avoiding confusion and stress among employees.
DeSoto’s response to this issue involved direct engagement with PGT’s senior leaders, reinforcing that Miter’s acquisition was as much about people as it was about products. He expressed commitment to investing in the Venice operations, aiming to grant more autonomy to local management, which aligns with Miter’s operational philosophy against a centralized command and control.
Looking ahead, DeSoto remains concerned about economic conditions going into 2025. Although the window and door market in 2024 was stable, he hopes for improvement, particularly in new home starts. The CEO emphasized his mission to regain market share for PGT, addressing product lead time, installation, and service improvements. Despite setbacks, he remains confident in the quality of PGT’s offerings and strives to rebuild consumer trust.
The $3.1 billion acquisition of PGT Innovations represents a major growth milestone for Miter Brands under Matt DeSoto’s leadership. As the company navigates integration challenges, its focus remains on leveraging local expertise and improving market conditions to drive success. DeSoto’s transparency about past mistakes and commitment to communication could strengthen Miter Brands’ position in the competitive window and door market.
Source: Businessobserverfl
