Dive Brief:
- Major building material company ABC Supply, based in Beloit, WI, announced it will acquire Norandex Building Materials Distribution Inc., based in Hudson, OH, after the deal passes an antitrust review.
- The combined firm would rake in annual sales of about $6 billion and operate 600 locations in 49 states and Washington, DC.
- The acquisition is expected to pass antitrust review in the fourth quarter of this year, according to ABC Supply.
Dive Insight:
Privately held ABC Supply, the largest roofing and vinyl siding wholesale distributor in the U.S., said it will buy Norandex from its parent company Saint-Gobain S.A., a French multinational building materials firm.
"This strategic acquisition reinforces our leadership position in the exterior products market and establishes a strong foundation for our next phase of growth," Keith Rozolis, ABC Supply's president and CEO, said in a statement.
The construction industry overall has seen a recent wave of mergers and acquisitions. In the commercial and engineering sectors, for example, M&A activity soared 73% between the first and second quarter of 2015.
ABC Supply is also known for its race car, which it enters into competitive races as a marketing tactic.
