Two of the largest names in workplace furniture are joining forces. Steelcase Inc., a fixture in Grand Rapids since 1912, has agreed to merge with Iowa-based HNI Corporation in a deal valued at $2.2 billion. The agreement, announced Monday, will combine decades of expertise, brand recognition, and global reach.

Under the terms, HNI will acquire Steelcase in a cash-and-stock transaction. When the deal closes, HNI shareholders will own approximately 64% of the combined company, while Steelcase shareholders will hold about 36%.

HNI plans to maintain its corporate headquarters in Muscatine, Iowa. Steelcase’s brand headquarters will remain in Grand Rapids, a move that offers stability for the more than 2,000 employees based there.

What This Means for Grand Rapids

While major mergers often raise concerns about potential changes to local jobs, both companies have stated they value Steelcase’s design and innovation work, which will continue to operate in Grand Rapids. Economic experts note that if the Steelcase brand grows under HNI’s leadership, it could strengthen the company’s long-term ties to West Michigan.

Steelcase’s President and CEO, Sara Armbruster, called the deal the start of a new era for customers, dealers, and employees. HNI’s Chairman, President, and CEO, Jeffrey Lorenger, said the acquisition will create opportunities for growth and position the combined company to meet evolving workplace needs.

The Road Ahead

The transaction is expected to close by the end of 2025, pending shareholder approval. The combined company’s board of directors will expand from 10 to 12 members, including two from Steelcase’s current independent board.

For Grand Rapids, this merger could be more than a corporate shift...it may shape the city’s role in the global workplace design industry for years to come.