Building Products Acquisitions in 2023

Core & Main Inc. has acquired substantially all of the assets of Granite Water Works Inc., a family-owned distributor of water, wastewater and storm drainage products based in Waite Park, Minnesota. The acquisition expands Core & Main’s presence and capabilities in central Minnesota and brings Granite’s local relationships and team into Core & Main’s national specialty distribution network.

Great Day Improvements, a Macedonia, Ohio–based direct-to-consumer home improvement company, has acquired Florida-based Home Performance Alliance (HPA) to expand its presence in the Florida market and add high-performance roofing solutions to its product portfolio. HPA founder and CEO Gary Delia will collaborate with Great Day's leadership and report to CEO Michael Hoy as the business is integrated into Great Day's family of brands.

GMS Inc. has entered into an agreement to acquire Kamco Supply Corporation, a Brooklyn-based distributor of ceilings, wallboard, steel, lumber and related building products. The acquisition expands GMS's presence in the Greater New York City market and is expected to close in the fourth quarter of GMS's fiscal 2024, subject to customary conditions.

Transom Capital Group completed the acquisition of Galleher, LLC, a western U.S. distributor and manufacturer of residential and commercial flooring products. The purchase gives Transom a platform in the premium flooring/building-products sector and aims to drive operational improvements, geographic expansion and new product development while keeping Galleher as an independent portfolio company.

Builders FirstSource has acquired Encore Building Products, a Springdale, Arkansas-based distributor and retailer of lumber, flooring and other building materials that serves professional contractors and multi-family builders in northwest Arkansas. Anchor Peabody served as exclusive financial advisor to Encore and its shareholders in the transaction.

Pearlman Group, a specialty distributor and portfolio company of The Stephens Group, acquired Power Rental & Sales, a Nashville-based distributor and rental provider of decorative concrete supplies and equipment. The transaction, an add-on to Pearlman Group’s platform, closed on December 14, 2023 and positions Pearlman to expand its decorative and commercial concrete product and rental offerings.

Watts Water Technologies, Inc. has acquired Josam Company, a Michigan City, Indiana–based manufacturer of drainage and plumbing products with approximately $35 million in annualized sales. The purchase, funded with cash on hand, expands Watts’ product portfolio and channel capabilities and is intended to drive growth through cross-selling and complementary offerings.

Installed Building Products, Inc. (NYSE: IBP) has acquired Combee Insulation Company, Inc., Combee Foam Products, Inc. and Air Tight Diagnostics, LLC (collectively “Combee”), a Lakeland, Florida-based installer of fiberglass and spray foam insulation and garage doors. Combee generates approximately $16.5 million of annual revenue and expands IBP’s footprint in Central Florida to serve single-family, multifamily and commercial new-construction customers.

Foley Products Company, LLC completed the acquisition of Coastal Precast of Florida, Inc., a Fort Myers-based manufacturer of sewer pipe and precast concrete products. The purchase expands Foley's presence in the growing Southwest Florida market and enables Foley to offer a broader range of storm, sanitary, retention and specialty precast solutions locally.

ASSA ABLOY has acquired Ghost Controls, a U.S.-based supplier of automated residential gate openers headquartered in Tallahassee, Florida. The small, high-margin business (approx. 40 employees; 2022 sales ~USD 30m) complements ASSA ABLOY's entrance automation and access solutions portfolio and is expected to be accretive to EPS from the start.

Investment firm Venture First and digital transformation group TYP64 have acquired Australian light-gauge steel framing manufacturer Scottsdale Construction Systems. The buyers plan to deploy digital transformation capabilities and capital to increase production capacity and expand Scottsdale's distribution into the US and EU.

Aldine Capital Partners provided a subordinated note and equity investment alongside Provariant Equity Partners in Smart Vent Holdings LLC, a Mount Royal, New Jersey-based manufacturer of engineered flood mitigation products. The capital infusion is a growth-oriented financing to support Smart Vent’s manufacturing and floodproofing services across residential, commercial and municipal markets.

ASSA ABLOY has acquired Leone Fence, a Canadian manufacturer, distributor and installer of fencing products, strengthening ASSA ABLOY's perimeter security offering in Canada. Leone Fence, founded in 1975 with about 60 employees and headquarters in Ontario, reported CAD 39 million in 2022 sales; the acquisition is expected to be accretive to ASSA ABLOY's EPS from the start.

US LBM has acquired Holderness Supplies, a Tucson-based manufacturer of floor and roof trusses and distributor of engineered wood products. The purchase expands US LBM’s manufacturing footprint in Arizona and strengthens its supply of specialty lumber and engineered wood products to local builders; Holderness’s longtime leader Rich Alejos will remain to manage operations.

SEI Group LLC, a Quad-C Management-backed installer of insulation and building products, acquired the assets of G5 Enterprises Inc., a Nixa, Missouri-based installer operating nine branches across Missouri and Arkansas. The add-on expands SEI's geographic footprint into the Midwest and South Central U.S.; financial terms were not disclosed.

Alpine Investors launched Cobalt Service Partners, a new platform focused on access solutions, and Cobalt announced the acquisition of Piedmont Door Solutions, a commercial doors design, installation and maintenance provider founded in Charlotte, North Carolina. Piedmont's leadership will remain in place under Cobalt ownership as the business joins the platform to accelerate organic growth and expand its geographic reach.

F.W. Webb Company has completed the acquisition of J.D. Johnson Co. and opened a new 40,000 sq. ft. wholesale location at 184 Church Street in Poughkeepsie, New York. The acquisition expands F.W. Webb's Northeast wholesale footprint and brings J.D. Johnson's long-standing local customer relationships and inventory into F.W. Webb's distribution network.

Rotunda Capital Partners has invested in Door Pro America, a Gainesville, Virginia‑based residential garage door installation, repair and replacement services provider with eight U.S. locations. The founders (Co‑Presidents Larry Notto and Chris Traxler) will remain in leadership and retain an ownership stake as Rotunda partners with the company to scale organically and via acquisitions.

Rainier Partners and its portfolio company SCI Flooring have acquired United Carpet, a full-service floor covering provider headquartered in Hazelwood, Missouri. The transaction is an add-on to SCI's flooring platform to expand geographic coverage and scale operations across the Midwest, particularly in the St. Louis and Chicago markets, and to strengthen the firm's multi-family, commercial, and residential installation capabilities.

Chicago-based private equity firm Frontenac has partnered with Integrated Openings Solutions (IOS), a value-added specialty distributor and service provider of commercial door openings and access control solutions headquartered in Olathe, Kansas. The investment will support IOS's geographic expansion and broaden its product and service offerings while founders Joe Lopez and Nick McCarty remain in leadership; TM Capital served as financial advisor to IOS.

Montbleau Holdings, a portfolio company of Crescendo Capital Partners, has completed the acquisition of Buda Woodworks. Westlake served as exclusive financial advisor to Buda; the deal is an add-on to Montbleau's platform to expand its custom woodworking and architectural millwork capabilities.

SRS Distribution Inc. has acquired Worldwide Rock Enterprises LP (doing business as Rock Materials), a Texas-based wholesale distributor of natural and manufactured stone and masonry supplies. Rock Materials' leadership team will remain in place as SRS integrates the business to expand its product offering and footprint across Texas.

Phalanx Impact Partners, a US-based impact-driven private equity firm, has made a growth investment in ECOR Global Inc., a San Diego–headquartered maker of sustainable building and packaging materials. The funding will be used to scale operations, accelerate pre-construction and commercial work for ECOR's first planned U.S. facility (Corpus Christi region) and expand production capacity in Serbia to meet contracted demand.

The Home Depot has entered into a definitive agreement to acquire International Designs Group (IDG) from Mill Point Capital. IDG is a Decatur, Georgia–based distributor and custom fabricator of surfaces, appliances and specialty products serving professional customers across renovation, remodeling, new construction and multi-family markets.

ABC Supply Co., Inc. has acquired John S. Wilson (JS Wilson), a family-owned full-service lumberyard in West Friendship, Maryland. The acquisition — advised by 1stWEST M&A for JS Wilson — expands ABC Supply's regional footprint and will integrate the location into ABC Supply's network.

Core & Main Inc. has entered into a definitive agreement to acquire substantially all of the assets of Lee Supply Company Inc., a family-owned specialty distributor and fabricator of HDPE pipe, fittings, pumps and fusion equipment rental services. The acquisition expands Core & Main’s HDPE product and service capabilities and brings Lee Supply’s four East Coast locations into Core & Main’s national distribution network.

Chandler Material Supplies, a third-generation family-owned builders' merchant based in Chelmsford, has acquired Essex Timber & Plywood of Eastwood, Southend-on-Sea. The deal — advised by Forward Corporate Finance — gives Chandler a second site and timber-specialist capability while enabling long-time majority shareholder Raife Clarke to begin winding down toward retirement.

O'Donnell Metal Deck, a Slate Capital Group-backed distributor, has acquired Metal Deck Direct, a Lenoir City, Tennessee-based metal deck and bar joist distributor. The add-on expands O'Donnell's national footprint, strengthening its presence in the Southeast and Mid-South and bringing Metal Deck Direct's regional customer relationships and operations into the O'Donnell platform.

Style Crest, Inc. (headquartered in Fremont, Ohio) has acquired Westland Distributing (Denver/Lakewood, Colorado) and Alumi-Cover Awning Company (Mesa, Arizona), expanding its distribution footprint across the Western United States and adding roll-formed awning manufacturing capabilities. The deal increases Style Crest’s direct distribution reach and brings complementary product and manufacturing capabilities into its manufactured-housing building products platform.

Founders East Capital Partners has completed an investment in Alumitech Architectural Glass and Metal, a Halifax-based provider of engineered curtain walls, architectural windows, skylights, storefronts, doors, metal cladding and custom fabricated architectural glass. Founder Norsat Eblaghi will remain an owner and director and will work with Founders East to select and mentor the company’s next president as part of a succession-focused recapitalization to support the company’s next phase of growth.

The Building Center, Inc., a privately held building materials supplier based in Pineville, North Carolina, has acquired Contractors Building Supply, Inc., which operates locations in Monroe and Ocean Isle Beach, North Carolina. The acquisition expands The Building Center's reach into central and coastal North Carolina; financial terms were not disclosed.

Impact Property Solutions, a Dallas-based portfolio company of Blue Sage Capital, has acquired Interior Concepts, Inc., an Arizona-based provider of flooring products and installation services serving Phoenix/Scottsdale and other Arizona markets. The deal is an add-on acquisition that expands Impact's Sun Belt footprint and service coverage for multifamily and commercial property customers; Interior Concepts leadership will remain with the business.

Beacon (Nasdaq: BECN) completed the acquisition of H&H Roofing Supply, LLC, a Bakersfield, California roofing supply business, adding a branch to Beacon's existing California footprint. The deal deepens Beacon's presence in the Central Valley and continues the company's branch expansion strategy to support local contractors and extend its TRI-BUILT product and Beacon PRO+ capabilities.

Rodda Paint Company acquired Valley Paint Manufacturing (Woods Cross, Utah) effective November 1, 2023. The acquisition adds manufacturing, formulation and distribution capacity for light industrial coatings and supports Rodda/Cloverdale's strategy to expand coating production and national distribution while Valley Paint continues to operate locally.

Saw Mill Capital, through its newly formed platform SMC Roofing Solutions, acquired two residential re-roofing businesses to expand the platform's footprint across the Southeast and South-Central United States. The acquisitions are add-ons to the SMC Roofing Solutions platform and support the company's direct-to-consumer, insurance-claim-focused residential re-roofing strategy; terms were not disclosed.

Swedish lift manufacturer Cibes Lift Group has acquired Elevator Service Company, Inc., a Torrington, Connecticut-based provider of home lifts, platform lifts and elevator maintenance and modernization services. The acquisition gives Cibes a stronger U.S. presence and retains Elevator Service Company as a wholly owned subsidiary under new management.

Star Equity Holdings, Inc. (Nasdaq: STRR) has completed the acquisition of Big Lake Lumber, Inc., a Minneapolis-based building supply center and lumber yard, effective October 31, 2023. Big Lake will be integrated into Star’s Glenbrook Building Supply business as a bolt-on to expand Glenbrook’s regional footprint and add single‑family residential revenue.

Outdoor Living Supply (OLS), a Trilantic North America–backed distribution platform for outdoor living products, has acquired Apache Stone, a wholly owned subsidiary of Halquist Stone Company. The deal adds three strategic locations in Nevada and Arizona, giving OLS entry into the Phoenix market and expanding its Southwest footprint. OLS said Apache Stone’s existing local management team will remain in place to ensure continuity for employees, customers and suppliers.

Core & Main Inc. has entered into a definitive agreement to acquire substantially all assets of Enviroscape ECM, Ltd., a Deshler, Ohio-based provider of geosynthetics and erosion control products. The acquisition expands Core & Main's geosynthetics and erosion-control product capacity and broadens its product offering for municipal, contractor and construction end markets.

The Schockman Lumber Group of St. Henry, Ohio has acquired Iverson's Lumber, an independent lumber yard with locations in Highland Township and Montrose, Michigan. The acquisition, advised by Calder Capital, transfers ownership from third-generation owner Todd Iverson and partners Morrey Law and Mark Hamlin and will expand Schockman’s market reach and service offerings.

Masonite International Corporation's U.S. subsidiary acquired Fleetwood Aluminum Products, LLC for $285 million in cash. Fleetwood, a Corona, California–based manufacturer of premium aluminum-framed glass door and window systems with ~350 employees and a 200,000 sq. ft. facility, will operate as an independent business unit within Masonite's North American Residential segment and is expected to contribute approximately $150 million of incremental full-year revenue in 2024.

Platinum Equity has signed a definitive agreement to acquire a co-controlling stake in US LBM from existing investor Bain Capital Private Equity, with Bain and Platinum holding equal ownership and joint board governance. US LBM will remain led by founder and CEO L.T. Gibson and will continue pursuing national expansion and strategic acquisitions to grow its specialty building materials distribution platform; financial terms were not disclosed.

SRS Distribution Inc., a portfolio company of Leonard Green & Partners and Berkshire Partners, has acquired Sunniland Corporation, a long-established distributor of residential and commercial roofing products and landscape fertilizers headquartered in Sanford, Florida. Sunniland will continue to operate under its existing brand with Tom Moore and the current leadership team remaining in place; the deal expands SRS's branch network and presence in the Florida/Southeast market.

AHF Products, a portfolio company of Paceline Equity Partners, has acquired Crossville, Inc., a U.S. porcelain tile manufacturer headquartered in Crossville, Tennessee, from the Curran Group. The add-on expands AHF's hard-surface product offering into porcelain and tile manufacturing to enhance its design and manufacturing capabilities and better serve residential and commercial customers; terms were not disclosed.

Sagard Private Equity Canada has made a significant investment in Norbec Inc.'s share capital, joining Desjardins Capital, Norbec's founder and the company's management team as shareholders. The capital injection will support Norbec's continued scaling of manufacturing operations and targeted regional expansion while the company remains headquartered in Boucherville, Quebec with ~325 employees.

Har-Tru, LLC has acquired Armor Crack Repair, the longtime provider of fabric crack repair solutions for asphalt tennis courts founded by Dan Clapp. The acquisition expands Har-Tru's product and service offering to provide end-to-end court construction, repair, and maintenance solutions for the tennis and sports building industries.

Schaedler Yesco Distribution Inc. has entered into an agreement to acquire Clarion Electric Supply Company, a two-location electrical supply distributor in northwest Pennsylvania. The deal, driven by Schaedler Yesco's western-region growth strategy, is expected to close after due diligence in December 2023 and will expand Schaedler Yesco's footprint to better serve contractors in Northwest Pennsylvania.

Montreal-based The Protech Group has acquired 100% of MF Paints Inc., a Laval, Quebec manufacturer and distributor of architectural paints and stains, with the transaction effective October 7, 2023. Protech said it will leverage its purchasing, technical and manufacturing capabilities to expand MF Paints' product offerings and strengthen its presence in the Canadian retail and commercial building paints market; the Morello family and MF Paints shareholders sold the company.

Swedish ventilation and building-products group Lindab has acquired HAS-Vent Ltd, a Birmingham-based manufacturer and distributor of circular, oval and rectangular ventilation ducts. HAS-Vent operates ten UK branches, has about 105 employees and SEK 280 million in annual turnover; the transaction was financed with Lindab's own funds and current owners Jonathan Black and Peter Slater will continue to run the business within Lindab.

CCMP Growth Advisors has partnered with Decks & Docks CEO Shawn Roberts and President Tyler Wallace to acquire Decks & Docks, a Clearwater, Florida-based specialty distributor of marine construction and outdoor living supplies. CCMP will buy out the remaining shareholders while management remains significant shareholders; the investment provides capital to support the company’s growth plan of expanding existing sites, opening new locations and pursuing strategic acquisitions. Financial terms were not disclosed.