There had been softening of acquisition values for some LBM companies due to “normalizing” of lumber prices, inflation, and higher interest rates. But inflation and interest rate issues are temporary, and we foresee a very positive 2024 for acquisition deal values. In this webinar, we review why there is no lack of appetite among acquirers for LBM companies that meet baseline success parameters. We also review a major plus for acquisition deal pricing, namely that lumber price volatility is out of the system on a trailing twelve-month basis. We review how that affects deal values. Finally, you’ll learn why strong companies (meaning those above 10% EBITDA margins and 10% YOY growth) are getting premium values, and why the leading buyers of companies like yours are even more eager to add you their roll-up portfolio.
