By Matthew Spieler
LAGRANGE, GA.—Economic conditions may be tough, but it has not stopped
Milliken & Co. from making an acquisition to boost its carpet division. Following a month of speculation, the company announced it purchased Constantine for an undisclosed amount.
Constantine was founded in 1995 by Bob Weiner as a high-end residential mill and entered the commercial segment three years later. Today, the Calhoun, Ga.-based company employs approximately 300 people and operates four manufacturing facilities and a distribution center. With 2008 sales of more than $60 million, Constantine manufactures and markets carpet and modular tile, as well as resilient and hard surface flooring.
Joe Salley, Milliken’s president and CEO, said the acquisition will “broaden” the company’s portfolio of flooring products directed at the architectural and design community. “Constantine is a design leader…and this acquisition will immediately expand our market space while also building on Milliken’s commitment to innovation, technology and sustainability.”
Weiner, who will be staying on as director of design, said the purchase “represents the strengthening of two organizations that together will offer unique and innovative solutions to the A&D industry.”
Dave Caples, president of Milliken’s floor covering division, noted the company’s objective is “to retain and build upon the value Constantine provides its customers, which includes having the best products and best service for the A&D, end user and dealer communities.”
To that end, he added, the Constantine brand and offerings, including hard surfaces, will be retained and gradually integrated more fully into Milliken at a pace dictated by Constantine customers and Milliken.
“Milliken has no plans to change the way Constantine designs and delivers its current product offering,” Caples explained, “since this approach has allowed it to consistently outpace the growth rate of the broad commercial specified carpet market the past eight years.”
This is done, he noted, because of Constantine’s focus on design and service, areas Weiner has instilled in previous carpet mills he founded. Constantine has a solid reputation for beautiful, sophisticated high-end tile and broadloom products for the specified commercial carpet market, and a reputation as the best in industry service and sales rep organization focused on serving needs of the A&D community in North America.”
Another trademark of a Weiner-led mill is the ability to use technology in creating products and Constantine is no exception, Caples said. “The combination of Milliken and Constantine technology platforms offer numerous potential synergies that will let us deliver things such as improved breadth in product design, service support and improved product quality.”
While Constantine has been like other carpet mills in that it has been proactive in the area of sustainability and environmental actions, Milliken as a whole is world renowned for its eco-friendly programs and operations and Caples said the company can help speed up current initiatives.
“Though Constantine is very progressive on the environmental front,” he explained, “Milliken will accelerate the company’s pace of pre-existing green programs.”
As examples, Caples cited working to transition the company from PVC tile backing to alternative cushion and hardback technologies, and that Milliken will help it pursue NSF product certification for its tile and roll good products.
The acquisition follows several months of strategic organizational and product alignment, focused on strengthening Milliken’s core growth technologies and capitalizing on emerging markets.
As such, Caples concluded Milliken sees its flooring division “as a key, future growth platform for the company.”