HERNDON, Va. — Beacon announced today the completion of the sale of its solar products business (Solar Products) to BayWa r.e., a leading renewable energy developer, service supplier and systems provider globally and in the Americas.
Beacon’s Solar Products business consists of four dedicated and six shared branch locations where it distributes solar products, including photovoltaic panels, to both residential and commercial contractors. The business was part of the larger Allied Building Products acquisition in 2018. In the year ended Sept. 30, 2021, Beacon Solar Products generated approximately $111 million in net sales, net income of $2.6 million and Adjusted EBITDA of $3.7 million.
“The divestiture of Solar Products is in line with our strategy to focus on our core exteriors customers,” said Julian Francis, Beacon’s president and CEO. “BayWa r.e. is one of the most respected brands in the clean energy business and uniquely situated to provide the best service for our solar customers and the best opportunities for Beacon Solar employees. We also look forward to developing cross marketing and selling opportunities with BayWa r.e. to mutually benefit both companies in their respective markets.”
The addition of the Beacon Solar network will increase the number of BayWa r.e. warehouses from six to 16, reducing delivery times in many parts of the country including many key U.S. solar markets, and represents a platform for BayWa r.e.'s continued growth. In the coming months, Beacon and BayWa r.e. plan to explore further collaboration to increase choices for customers, offering solar and roofing products nationwide.
"The addition of several warehouses, a motivated and well-trained workforce, and new product offerings will boost our ability to deliver clean energy and home improvement solutions to our customers," said Boaz Soifer, regional director solar trade at BayWa r.e.
Global Power Partners served as sole financial advisor to Beacon, and Sidley Austin LLP acted as legal advisor to Beacon on the transaction. Eversheds Sutherland (US) LLP served as legal advisor to BayWa r.e. on the transaction.