June 12, 2024
Steelcase to Acquire HALCON, Maker of Finely Crafted Wood

GRAND RAPIDS, Mich., May 05, 2022 (Globe NEWSWIRE) — Steelcase Inc. declared right now it has signed a definitive settlement to obtain HALCON, a Minnesota-dependent designer and manufacturer of precision-customized wood furniture for the workplace. This acquisition will complement the present-day portfolio of Steelcase wood products and solutions, presenting uncompromising style and master craftsmanship to A+D experts and buyers.

Proven in 1977, HALCON is a leader in custom made wooden and executive-level tables, credenzas, and desks. With a culture of high-quality and innovation, the company’s portfolio characteristics patented award-profitable furniture collections for today’s personal place of work, open up-plan, and collaborative spaces. HALCON’s assortment of innovative options elevate the worker encounter with thoughtful and revolutionary facts.

“At HALCON we merge production overall flexibility, craftmanship and excellent assistance to solve the distinctive requirements of our consumers,” stated Ben Conway, president of HALCON. “We’re thrilled to join Steelcase and collectively grow the reach and influence of our products and solutions though remaining dedicated to our present customers, distribution channels and workforce.”

Steelcase and its community of makes present an extensive collection of solutions and services intended to aid the way men and women and corporations want to work now.

“From personal workplace to conference rooms, we had been attracted to the HALCON model for their fine craftsmanship that enables organizations to develop signature, custom made-intended workplace environments. When matched with our shared dedication to good quality, sustainability and services, HALCON is a all-natural in shape for our group of brands,” claimed Allan Smith, senior vice president, main earnings officer of Steelcase. “We be expecting to travel potent growth by making the HALCON portfolio even additional obtainable to our shoppers, A+D experts and sellers. We feel HALCON’s accomplishment is rooted in its motivation to excellent and very long-phrase partnership with A+D firms, consumers, suppliers, the supplier neighborhood and personnel, and we anticipate that to carry on.”

The transaction is expected to close in the course of Steelcase’s second quarter of fiscal 2023, issue to regulatory approval and the pleasure of customary closing disorders.  It requires the acquisition of all excellent equity pursuits in HALCON for $127.5 million and consists of an adjustment for functioning money and prospective more thing to consider of up to $9.5 million payable to the seller around 3 decades dependent on the achievement of certain general performance targets and ongoing employment of Mr. Conway.  Steelcase intends to fund the acquisition using funds on hand and availability underneath its credit score facility, as desired.  HALCON posted revenue of somewhere around $70 million about the trailing twelve months by way of April 2022, and its backlog of purchaser orders was roughly $56 million as of the end of April 2022.  

“We see numerous alternatives for development concerning the two providers heading forward, such as geographic expansion, portfolio improvement and continued income gains in HALCON’s existing core markets,” continued Smith.

The anticipated acquisition builds upon past acquisitions aimed at growth by delivering a wide portfolio of solutions, together with the acquisitions of Viccarbe, Orangebox, AMQ and Smith Program, supplementing a primary portfolio and featuring bigger decision and value to Steelcase prospects globally. Steelcase has previously announced advertising and marketing and distribution associations with Blu Dot, Bolia, Carl Hansen & Son, EMU, Extremis, FLOS, Mattiazzi, Microsoft, Mitchell Gold + Bob Williams, Moooi, Nanimarquina, PolyVision, Tom Dixon and West Elm.

Forward-seeking Statements
From time to time, in composed and oral statements, Steelcase discusses its anticipations pertaining to potential events and its strategies and goals for future operations. These forward-on the lookout statements discuss plans, intentions and anticipations as to potential trends, strategies, occasions, outcomes of functions or financial situation, or state other information relating to Steelcase, based mostly on existing beliefs of administration as effectively as assumptions manufactured by, and information and facts at this time available to, Steelcase. Forward-seeking statements commonly are accompanied by text such as “foresee,” “consider,” “could,” “estimate,” “expect,” “forecast,” “intend,” “may well,” “achievable,” “probable,” “forecast,” “venture,” “focus on” or other similar phrases, phrases or expressions. Even though Steelcase believes these forward-seeking statements are fair, they are primarily based on a amount of assumptions regarding long term problems, any or all of which may perhaps eventually confirm to be inaccurate.

Forward-seeking statements include a quantity of risks and uncertainties that could lead to actual success to differ materially from all those in the forward-seeking statements and change from Steelcase’s anticipations for the reason that of components this sort of as, but not limited to, aggressive and basic financial problems domestically and internationally functions of terrorism, war, governmental motion, all-natural disasters, pandemics and other Pressure Majeure occasions cyberattacks the COVID-19 pandemic and the actions taken by various governments and 3rd parties to combat the pandemic improvements in the legal and regulatory setting alterations in raw materials, commodity and other input prices currency fluctuations modifications in client demand and the other risks and contingencies thorough in Steelcase’s most new Annual Report on Kind 10-K and its other filings with the Securities and Exchange Fee. Steelcase undertakes no obligation to update, amend or make clear ahead-wanting statements, irrespective of whether as a end result of new information, upcoming occasions or or else.

With extraordinary innovation, uncompromising design and style, and grasp craftsmanship, HALCON makes furniture tailor-made to the present day workplace. The company’s award-winning answers are produced in Stewartville, Minnesota with the greatest requirements of high quality and overall performance. Pay a visit to HALCON at www.halconfurniture.com  

About Steelcase
Businesses all around the entire world trust Steelcase to assist them build locations that assist folks do the job far better, be encouraged and execute extra. The enterprise styles, manufactures, and companions with other primary businesses to provide architecture, home furniture, and technological know-how remedies – accessible by a network of channels, such as about 800 Steelcase supplier spots. Steelcase is a world-wide, field-leading, and publicly traded enterprise with fiscal calendar year 2022 profits of $2.8 billion. For a lot more information, go to steelcase.com.

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Resource: Steelcase Inc