SEC Filings

UFP Industries Agrees To Pay About $27 Million For Texas Pallet Maker Apache Products

The deal adds a Silsbee plant with 165 employees; a separate amendment pushes UFP's $750 million credit line to 2031.

UFP Industries, the Grand Rapids, Michigan maker of pallets, decking, lumber and building components, agreed to pay approximately $27 million for the operating assets, real estate included, of Apache Products, a Silsbee, Texas pallet manufacturer, the company said Monday in an 8-K and press release. Apache brings about $55 million in annual sales.

A Gulf Coast pallet plant

Apache, which does business as Acme Skid, designs and makes stringer and heat-treated pallets at its Silsbee facility. The deal brings 165 employees into UFP, according to the release.

The plant will be folded into UFP Packaging's PalletOne network, which the company says gains immediate capacity. UFP expects the deal to close on or around November 16, 2026.

UFP Packaging president Scott Worthington called the Gulf Coast "one of the country's most important industrial packaging markets," citing concentrated manufacturing, energy and petrochemical activity.

Schwartz: Apache fits the pattern

CEO Will Schwartz described Apache as "an established market leader with long-standing customer relationships." He said the purchase tracks with the company's other investments this year, broadening its reach into a strategically important region.

UFP Packaging describes itself as the largest producer of wood pallets and crates in the United States. UFP's packaging segment serves building materials, durable goods, agricultural and automotive customers, among others. UFPI shares were at $81.24 in Monday trading, up 0.01% from the prior close.

Credit line runs to 2031

Separately, UFP signed a Fifth Amendment to its credit agreement, effective October 23, extending the maturity of its $750 million revolving credit facility to October 23, 2031. The amendment raises the sublimits for swingline loans (short-term advances) and letters of credit to $75 million each.

As of September 26, no cash borrowings were outstanding, and about $42 million of letters of credit were. Cash borrowings carry interest at Adjusted Term SOFR plus 112.5 to 162.5 basis points, or at the Alternate Base Rate plus 12.5 to 62.5 basis points, set by the company's adjusted leverage ratio.

The Apache deal is expected to close on or around November 16, 2026.