Swiss based Bauwerk Group AG announced today the acquisition of Somerset Hardwood Flooring, a vertically integrated forest products company based in Somerset, Kentucky. The company shared that with the acquisition, Bauwerk Group AG strengthens its global profile and gains a stronger foothold in the growing North American flooring markets. The combined company has a geographically well diversified turnover of over $400M at a production volume of over 120 million square feet.
“With Somerset Hardwood Flooring, we have found the ideal partner for Bauwerk Group AG’s U.S. expansion. All the requirements we have set for an acquisition, such as good market positioning, own production and a fit in terms of values and people, apply to Somerset Hardwood Flooring,” says Patrick Hardy, CEO and president of Bauwerk Group. “We are pleased to be able to continue the success story of Somerset Hardwood Flooring and the legacy of founder Steve Merrick.”
“Both parties bring key success factors to the table which, when combined, will enable the next step for both companies,” says Somerset Hardwood Flooring founder Steve Merrick. “Under the aegis of Bauwerk Group, Somerset Hardwood Flooring will be able to further play to and accentuate its strengths.”
The Somerset Hardwood Flooring brand will remain and complement the other brands in the Bauwerk Group portfolio (Bauwerk Parquet and Boen), with all three brands retaining their respective regional focuses and product identities. Somerset Hardwood Flooring will be led by long-time Somerset Hardwood Flooring VP Sales & Marketing Paul Stringer as the new CEO/President.
Merrick will continue to own and operate his other forest products businesses in the community, including Somerset Hardwood Lumber Inc. (which will become Merrick Hardwoods Inc.), Somerset Biofuel Inc. (d/b/a Somerset Pellet Fuel), Kentucky Hardwood Lumber Company Inc., and Interstate Hardwoods Inc. Additionally, the Merrick companies will continue to manufacture and market their unfinished solid wood flooring brand.
The parties agreed not to disclose financial details of the transaction.