Beacon Roofing Supply to Acquire Roofing Supply Group
HERNDON, Va., and DALLAS — Beacon Roofing Supply Inc. has announced that it has entered into a definitive merger agreement to acquire Roofing Supply Group, a leading roofing-products distributor owned by investment firm Clayton, Dubilier & Rice, in a cash and stock transaction valued at approximately $1.1 billion.
Under the terms of the agreement, RSG shareholders will receive approximately $286 million in cash and $291 million of Beacon common stock, and Beacon will refinance approximately $565 million of RSG's net debt. Beacon will fund the cash portion of the purchase price through a new ABL Revolver, Term Loan B and a senior unsecured bond offering. The transaction is targeted to close on Oct. 1, 2015.