Quanex Corp. announced the closing of the stock purchase of privately held Mikron Industries, for $205 million in cash.

Mikron manufactures engineered vinyl and thermoplastic alloy composite (MikronWood^(tm)) window components, window coverings and door components, serving the residential building and remodeling markets. With 2004 revenues of approximately $215 million, the acquisition is expected to be accretive to earnings in the first year.

"The addition of Mikron to our Building Products Group is consistent with our strategy of growing our core Engineered Products business, which manufactures window and door components for the building products markets," stated Raymond Jean, Chairman and CEO of Quanex. "Mikron's excellent management team, outstanding market reputation and leading industry position will help us continue building our presence in the window and door component business by giving us greater market participation in the fastest growing window segments — vinyl and composite windows. The acquisition will allow us to further accelerate cross-selling opportunities that currently exist among our other vinyl and wood component businesses. Mikron represents our third acquisition in the fenestration market, and the growing scale of our Building Product businesses will allow us to invest in plant, equipment and development activities to further support our customers," Jean said.

Quanex financed the acquisition by borrowing against its $310 million revolving credit facility.

Quanex Corp. is an industry-leading manufacturer of value-added engineered materials and components serving the vehicular products and building products markets.

Headquartered in the Seattle suburb of Kent, Wash., Mikron operates modern and highly automated extrusion facilities located in the Kent area; Winnebago, Ill.; and Richmond, Ky.