Saint-Gobain Performance Plastics acquired the assets of Green Glue Co. for an undisclosed sum. Green Glue, of West Fargo, N.D., manufactures soundproofing technology for the global construction market. Saint-Gobain of Aurora, Ohio, manufactures high-performance plastics.
If Wendel wants to increase its influence on the board of Saint-Gobain, Wendel investors may have to give up the double-voting rights they now enjoy. Saint-Gobain grants a double vote to shareholders who have owned their stock for at least two years, but the building materials company says the special voting rules must be abolished before it will grant any new board seats to Wendel. The two sides met in Paris on Monday to discuss the issue.
Saint-Gobain plans to reduce costs by some $436 million this year, but the company's largest shareholder is seeking deeper cuts. European investment firm Wendel wants to see cost cuts of nearly $1.5 billion, and it's lining up allies among other big investors to leverage the pressure on Saint-Gobain.
Officials in Manor Township, Pa., are considering enacting a noise ordinance after frequent complaints from residents. Though farm equipment would be exempt from the regulations, leaf blowers and other power equipment would be affected. Neighboring jurisdictions in Lancaster County have already passed similar laws.
Wendel, which holds an 18% stake in French buildings material conglomerate Saint-Gobain, underscored its long-term investment in the company after stocks for both groups recently experienced a worldwide market sell-off. "Wendel believes in the important potential of this group," the French investment group said in a statement. Wendel said its investment in Gobain will span three to five years.