Beacon Roofing Supply to Acquire Allied Building Products

Beacon Roofing Supply Inc. announced that the company has entered into an agreement to acquire Allied Building Products Corp. Beacon will purchase Allied from global diversified building products group CRH for $2.625 billion in cash.

Headquartered in Herndon, Va., Beacon is a distributor of residential and non-residential roofing and complementary building products, and the company currently has more than 380 locations in 48 states and six Canadian provinces.

Allied is headquartered in East Rutherford, N.J., and distributes products across 208 locations in 31 states. The company distributes exterior products, such as roofing, siding, windows and doors, and interior products, such as wallboard and suspended ceiling systems.

According to Beacon, the combination of Beacon and Allied will make Beacon one of the largest publicly traded wholesale building materials distributors in North America with pro forma revenues of approximately $7 billion and 593 branches in all 50 states and six provinces across Canada.

Beacon will also become the fourth largest wallboard and acoustical ceiling tile wholesale distributor in the United States, with more than $1 billion of revenue in the interior market category. Beacon and Allied have more than 150 years of combined experience providing service excellence to customers in the building products industry.

The expanded geographic footprint will allow Beacon to enter new local markets, particularly in New York, New Jersey and the upper Midwest. In addition, acquiring Allied allows Beacon to further strengthen the company’s position as a leader in roofing products distribution, while accelerating growth in other key product categories, including siding, windows, doors, decking, trim, waterproofing, insulation and solar.

Beacon expects to finance the acquisition with approximately $2.2 billion of debt financing, a new unsecured note and approximately $500 million of committed convertible preferred equity financing from an entity affiliated with the investment firm Clayton, Dubilier & Rice (CD&R), which in October 2015 sold Roofing Supply Group (RSG) to Beacon. The parties currently expect to consummate the transaction on or around January 2, 2018, subject to satisfaction of customary closing conditions.

Robert R. Buck, chairman of Beacon’s board of directors, stated: “Allied is among the most established and respected companies in our industry, and we are proud that, through this acquisition, Beacon will become one of North America’s largest publicly traded building materials distributors and will operate locations in all 50 states. I want to thank CRH for entrusting Beacon with the future success of Allied and its dedicated employees, who have been part of the CRH family for more than 20 years. The Allied acquisition also presents a great opportunity for CD&R to again become a major shareholder in Beacon. Today is of great significance in Beacon’s history and for the future of building products distribution.”

Paul Isabella, Beacon’s president and chief executive officer, commented: “I would like to welcome the more than 3,500 employees from Allied to the Beacon family. We are thrilled to partner with such a loyal and dedicated workforce that shares our commitment to superior customer service and high levels of performance. We are also excited to become a significant player in the robust, growing and still-consolidating interior products market. Together, we will leverage the strengths of both companies, while remaining committed to preserving the deep customer relationships that we have each cultivated over 150 years of combined experience. This is a milestone moment in the long and successful histories of both companies.”

Roofing Contractors Association of Hawaii Holds Awards Banquet

The Roofing Contractors Association of Hawaii 2016 Top Roofing Awards Banquet was held at the Honolulu Country Club, Jan. 21, 2017.

Six awards were presented in Residential and Commercial categories for Fluid Applied, Single Ply, Modified Bitumen, Metal, Tile and Shingle.

The awards banquet’s Gold Sponsors included ABC Supply, Allied Building Products, Beachside Roofing, Malarkey, Polyglass USA, and Roofline Supply and Delivery.

Pictured from left to right: Dennis Conway, chairman of NRCA’s board of directors and principal of Commercial Roofers, Las Vegas, celebrates with Scott Ai, president of the Roofing Contractors Association of Hawaii and vice president of estimating for Beachside Roofing, Honolulu, and Scott’s wife, Roxanne Ai.

Tropical Roofing Products Announces New Regional, District, Territory Sales Managers

Tropical Roofing Products announces the addition of two new regional sales managers to cover the Central and West Coast regions. Steve Del’ Nero, appointed as West Coast regional sales manager, comes to Tropical Roofing Products with over 15 years of experience in the building and roofing industry, having previously worked as a regional sales manager for InterWrap Inc., and a territory manager for ACH Foam Technologies. Covering the Central Region as new regional sales manager is Christopher Arriaga. Christopher has spent the last decade in the roofing industry as regional and territory manager as well.

In addition, the West Coast Region has brought onboard three new sales managers to cover Southern and Northern California territories. Gabriel Gonzalez, district sales manager for Southern California, comes to Tropical Roofing Products with 14 plus years in the building and roofing industry, several as an outside sales rep for Allied Building Products. Matt DiSantis, district sales manager for Northern California, brings over 10 years of experience in the roofing industry primarily with Roofing Supply Group to Tropical Roofing Products. Jordan Stones, comes to Tropical Roofing Products with several years of experience in the building and roofing industry as well, having previously worked as a contractor sales specialist for InterWrap Inc. is covering Southern California as territory manager.

“We are excited about the new additions of Steve, Christopher, Gabriel, Matt and Jordan who bring a combined 60 plus years of roofing industry experience to allow Tropical Roofing Products to better service these regions,” said Michael King, vice president of sales.

“Tropical Roofing Products views these appointments as a sign of our supplier commitment to the industry. The growth of our Fluid Applied Restoration Systems and the demands of our customers led us to look for additions to our team who will fit in with our ethos of innovation and service.”

For more information on Tropical Roofing Products, or to find your closest representative, call (800)432-2855 or visit the website. Download the Tropical Roofing Products mobile app by texting “ROOFING” to 94502 or visit the app store for your mobile device.