Over the last two years, Beacon has witnessed a large increase in merger and acquisitions (M&A) activity in the specialty contracting business that includes roofing contractors. This boom cycle is beginning to resemble the high multiples witnessed in 2005 to 2007.
The activity is fueled by low interest rates, the return of the profit, larger companies and other private capital seeking closely held businesses as an alternative means of achieving greater returns on their investments, plus the banks beginning to loosen their underwriting criteria.