Reuters: Ares, Canada’s Teachers’ to Buy CPG International

(Reuters) – Ares Management LLC and Ontario Teachers’ Pension Plan will buy building products maker CPG International Inc to take advantage of a recovering U.S. housing market.

Ares and Ontario Teachers’ will own equal shares of the company, with CPG management retaining a minority stake in the company.

Terms of the transaction were not disclosed.

Reuters reported in July that Ares was one of a string of private equity owners bidding for CPG in a deal worth as much as $1.5 billion.

CPG, owned by private equity firm AEA Investors LP, makes building supplies for residential and commercial markets such as outdoor decking, porch boards, plastic restroom partitions and lockers.