Boral Ltd. will acquire Headwaters Inc. for $24.25 per share in cash, a deal valued at $2.6 billion, according to the companies.
Boral is Australia’s largest building and construction materials supplier and has an existing presence in the North American building and construction materials industry, with strong positions in bricks, concrete and clay roof tiles, manufactured stone and fly ash, and a developing light building products business.
Headwaters’ portfolio of building products includes architectural stone; resin-based exterior siding accessories (such as specialty siding and shutters); roofing; trim board; decking; railing; concrete block and brick; windows; and various other building products.
Mike Kane, Boral’s chief executive and managing director, stated, “This agreed transaction is the result of significant evaluation and engagement between our companies. The businesses of Headwaters are highly complementary with Boral’s existing U.S.operations and the transaction price reflects our belief that there is strong commercial rationale for combining the two portfolios.”
Headwaters Chairman and Chief Executive Officer Kirk A. Benson commented, “This is a compelling transaction that delivers significant value to our shareholders. Headwaters and Boral both have outstanding teams, and share a common commitment to delivering a premier selection of high-quality products to our customers. We are looking forward to working with Boral to ensure a smooth transition for our stakeholders, as we create one of the leading suppliers of building products and construction materials for infrastructure, new residential, repair and remodel, commercial and institutional construction.”