North American Leader in Architectural Hardware, Glass and
Glazing Systems
NEW YORK, Feb. 28, 2022 /PRNewswire/ -- KPS Capital
Partners, LP ("KPS") announced today that, through a newly formed
affiliate, it has signed a definitive agreement to acquire
Oldcastle BuildingEnvelope Inc. ("OBE" or the "Company") from CRH
plc (LSE: CRH) for approximately $3.45
billion in cash. Completion of the transaction is
expected in mid-2022 and is subject to customary closing conditions
and approvals.
OBE is North America's leading
vertically-integrated manufacturer, fabricator and distributor of
architectural hardware, glass and glazing
systems. Headquartered in Dallas,
Texas, OBE is a world-class building products company with
significant presence in every major metropolitan statistical area
in the United States and
Canada. The Company manufactures high-performance
architectural glass products and aluminum framing systems and,
through its subsidiary C.R. Laurence, distributes complementary
branded hardware and glazing supplies. OBE delivers products
to a broad customer base of architects, glaziers, contractors and
developers serving diversified residential and commercial
construction end-markets. The Company has over 6,700 employees
and operates 84 manufacturing and distribution facilities in five
countries.
Raquel Vargas Palmer, Co-Managing
Partner of KPS, said, "We are thrilled to acquire North America's largest provider of
architectural hardware, glass and glazing systems. OBE is the
only 'one-stop shop' for every critical product a glazing industry
customer needs, and the Company serves attractive, growing
end-markets. We intend to drive profitable growth by providing
the Company with the financial resources to invest in commercial
and operational excellence. We will leverage KPS' decades of
manufacturing expertise to create an entrepreneurial culture
centered on innovation, continuous improvement and excellent
customer experience. OBE has demonstrated a strong ability to
integrate synergistic acquisitions over the past several decades
and we will provide strategic support and capital in pursuit of
future growth opportunities. We look forward to partnering
with OBE's talented employees and management team under the
leadership of President and Chief Executive Officer Liz Haggerty to accelerate the Company's value
creation opportunities."
Liz Haggerty said, "The entire
OBE management team looks forward to partnering with KPS as the
Company begins its journey as an independent company. KPS has
an exemplary track record of investing in and improving
manufacturing businesses, and we are exceedingly confident that
they are the right partner to help us execute on our strategic
plan. We will continue to build on our industry-leading
reputation for quality, reliability and product
innovation. KPS' experience with manufacturing businesses and
the significant capital resources available will allow us to invest
in our commercial and operational growth strategy. We intend
to expand our capabilities as a customer-oriented solutions
provider in architectural hardware, glass and glazing
markets. We are very excited about OBE's future opportunities
and we have found a great partner in KPS to capture them."
BofA Securities and J.P. Morgan Securities LLC acted as
financial advisors to CRH plc. Citi acted as financial advisor
and Paul, Weiss, Rifkind, Wharton & Garrison LLP served as
legal counsel to KPS and its affiliates.
About Oldcastle BuildingEnvelope
OBE is North America's leading vertically-integrated
manufacturer, fabricator and distributor of architectural hardware,
glass and glazing systems. Headquartered in Dallas, Texas, OBE is a world-class building
products company with significant presence in every major
metropolitan statistical area in the
United States and Canada. The Company manufactures
high-performance architectural glass products and aluminum framing
systems and, through its subsidiary C.R. Laurence, distributes
complementary branded hardware and glazing supplies. OBE delivers
products to a broad customer base of architects, glaziers,
contractors and developers serving diversified residential and
commercial construction end-markets. The Company has over
6,700 employees and operates 84 manufacturing and distribution
facilities in five countries. For more information on
Oldcastle BuildingEnvelope, visit www.obe.com.
About CRH
CRH (LSE: CRH, ISE: CRG, NYSE: CRH) is the
leading building materials business in the world, employing
approximately 77,400 people at around 3,200 operating locations in
28 countries. It is the largest building materials business in
North America and Europe and also has regional positions in
Asia. CRH manufactures and supplies a range of integrated
building materials, products and innovative solutions which can be
found throughout the built environment, from major public
infrastructure projects to commercial buildings and residential
structures. A Fortune 500 company, CRH is a constituent member of
the FTSE 100 Index, the EURO STOXX 50 Index, the ISEQ 20 and the
Dow Jones Sustainability Index (DJSI) Europe. CRH's American
Depositary Shares are listed on the NYSE. For more information
visit www.crh.com.
About KPS Capital Partners, LP
KPS, through its
affiliated management entities, is the manager of the KPS Special
Situations Funds, a family of investment funds with approximately
$13.1 billion of assets under
management (as of December 31, 2021).
For nearly three decades, the Partners of KPS have worked
exclusively to realize significant capital appreciation by making
controlling equity investments in manufacturing and industrial
companies across a diverse array of industries, including basic
materials, branded consumer, healthcare and luxury products,
automotive parts, capital equipment and general
manufacturing. KPS creates value for its investors by working
constructively with talented management teams to make businesses
better, and generates investment returns by structurally improving
the strategic position, competitiveness and profitability of its
portfolio companies, rather than primarily relying on financial
leverage. The KPS Funds' portfolio companies currently
generate aggregate annual revenues of approximately $15.2 billion, operate 165 manufacturing
facilities in 26 countries, and have approximately 43,000
employees, directly and through joint ventures worldwide (as of
December 31, 2021, pro forma for
recent acquisitions and exits). The KPS investment strategy
and portfolio companies are described in detail at
www.kpsfund.com.
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SOURCE KPS Capital Partners, LP