What does the transaction mean for LBM stakeholders? Learn more in our white paper from Anchor Peabody.
Builders FirstSource, Inc., a leading supplier and manufacturer of structural and related building products for residential new construction in the United States, today completed its previously announced acquisition of ProBuild Holdings LLC, one of the nation’s largest professional building materials suppliers, StreetInsider.com announced Friday.
The combination of Builders FirstSource and ProBuild will create a national professional dealer with 2014 combined revenues of approximately $6.1 billion, BFS announced in a press release. The combined company will leverage its nationwide network to better serve its four critical customer segments, including production builders, custom builders, multi-family/commercial, and repair and remodel. With over 430 locations, the new company will serve 74 of the top 100 metropolitan statistical areas across 40 states.
“The culmination of this acquisition marks a significant milestone in our industry, creating a unique company with enhanced scale and a national footprint. By bringing together the extensive products and services offerings of both Builders FirstSource and ProBuild, we will further strengthen our long-standing customer relationships,” said Floyd Sherman, CEO of Builders FirstSource. “This is an exciting day for our employees as we officially join forces to establish a broader, more efficient platform of manufacturing and distribution capabilities.”
Paul S. Levy, Chairman of the Board of Builders FirstSource and Founder of JLL Partners, said, “The combination of Builders FirstSource and ProBuild creates an industry leader that is well-positioned to take advantage of the continuing housing recovery. I could not be more proud to be associated with such an outstanding management team and to have been a part of this transformative transaction.”
In conjunction with the closing of its acquisition of ProBuild, the Company completed its previously announced public offering of 12,000,000 shares of its common stock at a price per share of $12.80, including 8,000,000 shares sold by the Company and 4,000,000 shares sold by Warburg Pincus Private Equity IX, L.P..