Jeld-Wen to sell Towanda facility under court order

TOWANDA, PA (WENY) -- The company that operates a manufacturing facility in Towanda, Pennsylvania will sell the plant to another company, under a court order.

Jeld-Wen Holding, Inc. announced the divestiture of its Towanda-based businesses and assets to Woodgrain, Inc. for approximately $115 million. Jeld-Wen took over the facility in 2012, when it acquired CraftMaster, Inc. Jeld-Wen was later the subject of an anti-trust lawsuit by Steves & Sons in 2016. The court order, issued by a judge with the U.S. District Court for the Eastern District of Virginia in December of 2018, directed Jeld-Wen to divest itself of the Towanda facility, as well as any licenses, permits, contracts, leases, certifications, and records used in the operation or management of the plant. An appeal by Jeld-Wen saw the court order upheld in 2021.

"After many years of working through the court-ordered divestiture of Towanda, we have now reached an important inflection point in this process. We continue to evaluate our options in this unprecedented legal proceeding, but following a thorough review, we have concluded that it is in the best interest of the Company and its stakeholders to proceed with closing the transaction at this time. Regardless, JELD-WEN is well positioned to continue to service and supply its door customers at the high level they have come to expect from us," said Chief Executive Officer William J. Christensen. ""While we are disappointed with the court ruling, we remain fully committed to advancing our transformation efforts to solidify our strong and resilient foundation. We will persist in investing in our business, focusing on initiatives that drive both cost reductions and sustainable growth."

The sale of the Towanda facility to Woodgrain is expected to close as early as December 31, 2024. 

The plant manufactures molded door skins for the home building market.