BlackEagle Partners Aquires Lyman Lumber
BlackEagle Partners has acquired the Midwest operations
of Lyman Lumber Company, including its Chanhassen location, Automated
Building Components, Carpentry Contractors Corp., and Lyman Lumber of
Wisconsin. The transaction was effective October 28, 2011. BlackEagle
Partners is the owner of US LBM Holdings, a collection of eight building
products distributors serving the Midwest, Northeast, and Mid-Atlantic
in nine states with more than 40 locations.
Lyman, headquartered in Excelsior, Minn., serves the Minneapolis-St. Paul
metropolitan area as well as Eau Claire, Wis. It employs more than 500
people with annual sales exceeding $100 million. Dale Carlson, vice president
of operations, will remain with the business in his new role as president.
“The breadth of products and quality of services offered by all of our
business lines at Lyman will only improve through our partnership with
US LBM,” Carlson says.
“The acquisition of Lyman furthers our commitment to US LBM as a platform
in the building supply industry and represents a perfect example of BlackEagle’s
strategy of increasing value through acquisition,” says Bryan Tolles,
vice president of BlackEagle.
In related news, John H. Myers & Son is the latest addition to the
US LBM family of companies. Myers, headquartered in York, Pa., operates
six building products stores throughout south central Pennsylvania and
northern Maryland with showrooms featuring various products including
doors and windows. In 2010, the company says its sales exceeded $55 million.
USG Corp. to Close Eight L&W Locations
USG Corp., parent company of L&W Supply Corp., filed a report with
the Securities and Exchange Commission on August 25 stating that it will
close eight distribution branches and its Nevada custom door and frames
business, “to adapt to market conditions.”
The company says the closures will record charges of approximately $7-$8
million in the current and future fiscal quarters related to these closures.
This includes approximately $5-$6 million related to equipment and distribution
branch lease terminations, approximately $1 million for termination benefits
and approximately $1 million for associated costs, including inventory
write-offs. The company estimates that it will incur cash expenditures
of approximately $6-$7 million in the current and future fiscal quarters
in connection with the closures, according to the filing.
True Home Value Expands by Opening Two New Stores in West Virginia
True Home Value (THV) Stores, a home improvement remodeler, has announced
plans for expansion into two new markets in West Virginia—Huntington and
Charleston. The stores will service roughly a 50-mile radius surrounding
these two new showrooms.
Don Shelby, head of THV retail store development, says that the new locations
were added in response to rising consumer demand in the area.
The Gores Group Acquires Remaining Interest in Stock Building Supply
The Gores Group, a private equity firm, announced that it has furthered
its commitment to Stock Building Supply Holdings LLC by acquiring Wolseley
plc’s remaining minority interest in Stock. The Gores Group acquired a
controlling interest in Stock, on May 5, 2009. Terms of the transaction
were not disclosed.
“We have high expectations for Stock, and this transaction solidifies
our position in the company,” said Ryan Wald, managing director of The
Gores Group. “Stock is well-situated to weather the downturn and is capable
of rapid growth as the market recovers. This additional investment will
allow us to participate fully in the growth of Stock and the recovery
of the housing market.”
“This additional investment by Gores is a sign of confidence in our associates
and our strategy, and we look forward to working collaboratively with
The Gores Group in the future,” added Jeff Rea, chief executive officer
of Stock Building Supply.
Former ProBuild Execs Form New Company
Paul Hylbert, former chief executive officer of ProBuild, has formed Kodiak
Building Partners, based in Denver, and says the company plans to invest
in the building materials distribution industry.
“We believe the time is right to acquire assets in this space,” says Hylbert.
“While construction activity in general remains very weak, we believe
that this business will recover and are looking to partner with strong
management teams to participate in the upturn.”
Joining Hylbert is Steve Swinney who will act as president and chief operating
officer, as well as Kyle Barker, Brian Cleveringa and Eric Miller who
will be managing directors. All of these individuals also worked previously
at ProBuild, as did Hylbert.
“As we did with our recapitalization of Barton Supply in July of this
year, we want to build Kodiak by partnering with the right management
teams, establishing the appropriate capital structure, and then supporting
the growth of companies over the long term,” said Swinney.
Kodiak Building Partners was formed to invest in building products companies
serving new residential, repair and remodeling, and commercial construction
markets across the United States. “Recognizing that this industry is very
local in nature, Kodiak and its investor partners will work with and support
management on a market-by-market basis to build and grow businesses in
the $10 million to $100 million sales range,” according to the company
WinWinWindows.com has begun operations in Abilene, Texas, and will
serve the West-Central Texas community. The company will provide all types
of replacement windows including metal and wooden windows, but will primarily
focus on providing energy-efficient vinyl replacement windows as well
as those for new construction.
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