Owens Corning will acquire Masonite in a nearly $4 billion deal. Owens Corning said the addition of Masonite’s door business creates a new growth platform, strengthening the company’s position in residential building materials and extending its offerings.

Founded in 1925, Masonite designs, manufactures, and markets doors and door systems, with a vertically integrated manufacturing model serving repair and remodel and new construction demand. Masonite operates 64 manufacturing and distribution facilities.

“We are excited by this opportunity to add a scalable new growth platform for our company,” Brian Chambers, board chair and CEO of Owens Corning, said. “Masonite is a market leader that complements our existing residential interior and exterior product offering and has consistently demonstrated top-line growth and margin expansion. The combination of our commercial, operational, and innovation capabilities allows us to accelerate our long-term enterprise growth strategy with a clear line of sight to meaningful synergies and increased cash flow generation.”

Following the closing, Masonite will operate as a reportable segment and will maintain its brands and a presence in Tampa, Florida.

“The combination with Owens Corning enables the acceleration of Doors That Do More strategy, while delivering immediate and substantial value to our shareholders,” Masonite president and CEO Howard Heckes said. “This agreement brings together two storied companies with a common focus on innovation and making life better at home for the people who use our products every day.”

Owens Corning expects cost synergies of approximately $125 million annually with its entrance into the door product category.