What's Happening?
Deckorators, a prominent brand in the outdoor living industry and a division of UFP Industries, has announced the acquisition of the remaining operating assets of MoistureShield decking. This strategic move aims to expand Deckorators' wood plastic composite
manufacturing capabilities and strengthen its product portfolio. The acquisition includes a facility in Arkansas known for its expertise in traditional composite decking, which will complement Deckorators' existing Surestone technology. The integration of MoistureShield is expected to enhance Deckorators' ability to innovate and serve its customers by combining technologies, product development capabilities, and market reach. The outdoor living category is experiencing strong demand as homeowners increasingly invest in outdoor spaces for various activities.
Why It's Important?
The acquisition of MoistureShield by Deckorators is significant as it positions the company to better meet the growing demand in the outdoor living market. By expanding its manufacturing capabilities and product offerings, Deckorators can provide enhanced value to dealers, contractors, distributors, and homeowners. This move is expected to accelerate product development and innovation, allowing Deckorators to maintain a competitive edge in the industry. The acquisition also supports UFP Industries' broader strategy to grow its retail solutions division, which includes the Deckorators brand. As the outdoor living market continues to expand, companies like Deckorators that invest in innovation and capacity are likely to benefit from increased sales and market share.
What's Next?
Following the acquisition, Deckorators plans to leverage the newly acquired facility to increase its production capacity and expand its product mix. The company aims to double its overall capacity of wood plastic composite products to $200 million by 2027. This expansion will involve additional capital investments at the Arkansas location to support future sales growth. As Deckorators integrates MoistureShield's assets and technology, it will focus on enhancing its product offerings and strengthening its market presence. The company is also expected to continue exploring opportunities for further growth and innovation in the outdoor living sector.
